🐋 Trading volume over the past $MAGMA 1 hours was about $9.23 million, 13 times the previous average; the price fell 4.94% over the same period.
When volume picks up, many people instinctively assume money is flowing in, but it’s not that simple.
Multiples are relative: a usually quiet coin seeing several times its normal volume may still be driven by just a few large trades, while the same volume multiple for a top coin would be much rarer.
When volume expands near a low and the price doesn’t make a new low, some interpret it as a sign that buyers are stepping in—but this still needs confirmation from subsequent candlesticks.
The same reading can mean completely different things in different market conditions, so don’t blindly apply a single rule of thumb.
When volume picks up, many people instinctively assume money is flowing in, but it’s not that simple.
Multiples are relative: a usually quiet coin seeing several times its normal volume may still be driven by just a few large trades, while the same volume multiple for a top coin would be much rarer.
When volume expands near a low and the price doesn’t make a new low, some interpret it as a sign that buyers are stepping in—but this still needs confirmation from subsequent candlesticks.
The same reading can mean completely different things in different market conditions, so don’t blindly apply a single rule of thumb.
