The cryptocurrency market remains in a sustained deleveraging phase, according to a new Q2 market analysis from FalconX, a major crypto prime broker. The report highlights a sharp decline in trading activity, with spot volumes dropping to their lowest level in nearly two years, even as early indicators suggest the market may be approaching a floor.

Trading Volumes Hit Multi-Quarter Lows

FalconX’s data reveals that spot trading volume fell 25% quarter-over-quarter to $1.6 trillion in Q2 2025, the lowest level recorded since Q3 2023. Futures trading volume also declined, dropping 12% to $9 trillion during the same period. The broad-based reduction in activity underscores a cautious environment where speculative interest has waned and…