Analysis: Despite Lower Activity, Retail FX and CFD Deposits Grew in April

March brought higher deposits and more transactions from retail traders. In our latest analysis of CPattern data, Finance Magnates Intelligence takes a closer look at how things evolved in April.

In March, we observed that the average level of traders' activity, as measured by the number of transactions, continued to grow on the back of a strong start to the year. Both January and February saw increased trading activity, and in March, this growth continued, with a single retail trader reaching around 290 transactions.

However, the most recent data from April shows a decline to an average of 252.7 transactions made by a single trader. Nevertheless, the highest number of transactions registered among the top 10 countries increased to 327 from 316, indicating a growing disparity between countries.

Less Trading but Bigger Deposits

Despite trading less frequently, retail traders were depositing much larger amounts into their accounts. The average single deposit in March increased from $1,757 to $2,401, marking significant growth of over 36%.

However, during the same period, we observed a rise in the average single withdrawal value. In March, it reached $3,192, reflecting an increase of 34% from the $2,370 recorded in February.

In terms of cumulative monthly deposits, we witnessed substantial growth, from $10,557 to $13,449. However, total cumulative monthly withdrawals decreased from $7,255 to $5,620. As a result, we achieved the highest value of NET deposits in the last 12 months, a total of $7,828.

Now, let's take a look at where the highest monthly deposits were registered this time. It was the Netherlands, with an average of $16,126 that was sent to a trading account by a single trader from this country. Speaking of the Netherlands, the crypto exchange, Binance recently exited the local market as it failed to obtain a virtual asset service provider license from the regulator. Consequently, the exchange immediately ceased onboarding new Dutch residents as customers.