$ADA 1-hour trading volume was approximately $20.56 million, 4 times the previous average; the price fell 2.19% over the same period.
I used to think high trading volume meant more buyers. Later, I realized that a surge in volume only indicates increased trading activity during that period—every buy has a corresponding sell. What really matters is which way the price moves when volume spikes and where it closes.
Extreme readings usually come with greater volatility. At such times, it’s better to reduce your position rather than add to it.
DYOR and participate rationally.
I used to think high trading volume meant more buyers. Later, I realized that a surge in volume only indicates increased trading activity during that period—every buy has a corresponding sell. What really matters is which way the price moves when volume spikes and where it closes.
Extreme readings usually come with greater volatility. At such times, it’s better to reduce your position rather than add to it.
DYOR and participate rationally.