When looking at $AVAX , let’s also talk about how to read it.
Binance Spot, 11/03 11:10–12:10 (Beijing time): over this hour, the price fell 0.12%, with a trading volume of 693,400 USDT, 2.2 times that of the previous hour. The closing price for the period was 8.348 USDT.
Historical trading volume is not the same as current order-book depth: trading volume records trades that have already taken place over a period of time, while order-book depth shows the limit orders currently visible at different prices. A large historical volume does not mean there are enough orders at every price level right now; order-book depth can also change rapidly as orders are placed and canceled. When using historical trading volume to estimate whether a current order can be filled smoothly, it’s important to distinguish between these two things.
When discussing liquidity, first clarify whether you’re looking at past trades or currently visible orders, then consider order size and the spread.
#AVAX #CryptoChatter
Binance Spot, 11/03 11:10–12:10 (Beijing time): over this hour, the price fell 0.12%, with a trading volume of 693,400 USDT, 2.2 times that of the previous hour. The closing price for the period was 8.348 USDT.
Historical trading volume is not the same as current order-book depth: trading volume records trades that have already taken place over a period of time, while order-book depth shows the limit orders currently visible at different prices. A large historical volume does not mean there are enough orders at every price level right now; order-book depth can also change rapidly as orders are placed and canceled. When using historical trading volume to estimate whether a current order can be filled smoothly, it’s important to distinguish between these two things.
When discussing liquidity, first clarify whether you’re looking at past trades or currently visible orders, then consider order size and the spread.
#AVAX #CryptoChatter