$PYTH The trading volume over one hour was about $18.5 million, 5.4 times the previous average; prices rose 12.3% over the same period.
A beginner’s burning question: How should I interpret a spike in trading volume?
Multiples are relative: for a coin that usually trades little, even a several-fold increase may be caused by just a few large orders. The same multiple increase in a top-tier coin is much rarer.
A sudden increase in volume only proves that market activity has picked up; it doesn’t tell you which side is right.
All indicators summarize what has already happened in the market, and the market could just as easily move in the opposite direction.
#PYTH
A beginner’s burning question: How should I interpret a spike in trading volume?
Multiples are relative: for a coin that usually trades little, even a several-fold increase may be caused by just a few large orders. The same multiple increase in a top-tier coin is much rarer.
A sudden increase in volume only proves that market activity has picked up; it doesn’t tell you which side is right.
All indicators summarize what has already happened in the market, and the market could just as easily move in the opposite direction.
#PYTH