[Analysis] Bitcoin OTC Surges... Kraken's Trading Volume Soars by 220%

Over-the-counter (OTC) trading of cryptocurrencies like Bitcoin (BTC) is surging.

According to The Block on the 25th (local time), Tim Ogilvie, head of the institutional division at the cryptocurrency exchange Kraken, stated, "Kraken's OTC trading volume has increased by 220% compared to last year," adding that "other exchanges have shown similar growth." Ogilvie concluded, "Ultimately, the current (cryptocurrency) OTC market is experiencing explosive growth."

The influx of investors into the OTC market is attributed to the crypto-friendly President-elect Donald Trump. Jake Ostrovski, an OTC trader at the cryptocurrency market maker Wintermute, explained, "The (crypto OTC) market was quiet until mid-year, but as prices rose ahead of the election, investors began to take positions," noting that "some investors saw this election as a 'green light' to start trading."

In the market, there is a prevailing view that demand for Bitcoin as well as Ethereum will continue for the time being. Brett Reeves, head of the cryptocurrency custody firm BitGo's GoNetwork, stated, "Compared to previous years, the (crypto) market is much more stable," adding, "(Bitcoin) ETFs have solidified this position, which will positively impact not only the OTC market but the entire cryptocurrency sector."