Kaiko Report on Cryptocurrency Liquidity

As weakness continues in Bitcoin and altcoins, Kaiko has published a report addressing the relevance of market cap and liquidity.

Cryptocurrency research company Kaiko evaluated the top 50 cryptocurrencies, emphasizing the importance of liquidity.

Kaiko stated in its report that there is a mismatch between market value and liquidity for some altcoins.

According to the report, Bitcoin (BTC), Ethereum (ETH), Solana (SOL), and XRP rank highest in liquidity and market value compatibility. However, this compatibility is lacking in altcoins like LEO, WBT, and HYPE, which have high market values but low liquidity.

The report highlighted that the best match between market value and liquidity is found in BTC, ETH, SOL, and XRP, while WBT, TKX, LEO, OKB, and FTN exhibit the worst liquidity match.

Kaiko ranked cryptocurrencies based on liquidity and market value compatibility:

> 1. BTC
> 2. ETH
> 3. XRP
> 4. SOL
> 5. DOGE
> 6. ADA
> 7. SUI
> 8. PEPE
> 9. LTC
> 10. LINK
> 11. SHIB
> 12. VET
> 13. GT
> 14. HYPE
> 15. MNT
> 16. KAS
> 17. XMR
> 18. CRO
> 19. FTN
> 20. OKB
> 21. LEO
> 22. TKX
> 23. WBT

Finally, Kaiko analysts identified five key factors affecting liquidity: market depth, number of liquid exchanges, bid-ask spread, trading volume, and market maker competition.

This is not investment advice.