What happened

Is crypto-mania over?

Probably not, but the exchange operator most readily identified with cryptocurrencies -- Coinbase Global (COIN 3.59%) -- fell by nearly 2.5% on Monday. The cause, it seems, is a dispiriting new research update on the crypto market.

Bitcoin symbol made up of colored spheres.

Image source: Getty Images.

So what

Data compiled by London-based research company CryptoCompare indicates that spot trading volumes on the world's major cryptocurrency exchanges dived by nearly 43% on a month-over-month basis in June.

Much of this was due to China's recent clampdown on cryptocurrency mining and trading, which shows no signs of letting up. As of late last month, according to a semi-reliable estimate from that country's Global Times, the government has managed to put an end to roughly 90% of all domestic Bitcoin (BTC 0.90%) mining.

While people shied away from dealing in Bitcoin -- considered the benchmark cryptocurrency among its peers -- it didn't shed as much value as might be expected given that swoon in crypto trading volume. From the beginning to the end of June, Bitcoin fell only 6%. That compares very favorably to its 35% drop in May.

On the back of the CryptoCompare report on Monday, Coinbase fell in sympathy with Bitcoin. The latter was down by just over 3%.

Now what

Crypto traders and investors are adjusting to life in the wake of the China crackdown. That doesn't, of course, mean they're particularly happy or enthusiastic about the current situation.

Still, despite their persistent volatility and risk, cryptocurrencies remain attractive for many, and true believers shouldn't be dissuaded by CryptoCompare's data.