Data: $RSR ｜1-hour trading volume up 4.6x｜Price down 8.2%
Definition: Trading volume in futures and spot markets often differs significantly. Futures volume includes a lot of high-frequency trading, so the two figures don't mean exactly the same thing.
How to interpret it: A volume spike may also be caused by a wave of liquidations. Liquidation orders are forced trades, so this kind of volume doesn't mean the same thing as active buying or selling. Compare it with liquidation data to assess what's happening.
Don't disrupt your original plan based on a single figure, and don't gamble with borrowed money on one reading.
#RSR
Definition: Trading volume in futures and spot markets often differs significantly. Futures volume includes a lot of high-frequency trading, so the two figures don't mean exactly the same thing.
How to interpret it: A volume spike may also be caused by a wave of liquidations. Liquidation orders are forced trades, so this kind of volume doesn't mean the same thing as active buying or selling. Compare it with liquidation data to assess what's happening.
Don't disrupt your original plan based on a single figure, and don't gamble with borrowed money on one reading.
#RSR