đ Trading volume over $PAXG 5 minutes was approximately $6.88 million, 25.8 times the previous average; prices were nearly unchanged over the same period.
When trading volume surges, many people instinctively assume money is flowing in, but that isnât necessarily the case.
Every trade has both a buyer and a seller, so higher volume alone doesnât mean there are more buyers or that money is flowing inâit only means that assets are changing hands more frequently.
Sometimes, a surge in volume is caused by widespread liquidations. Liquidation orders are executed involuntarily, so this kind of volume has a different meaning from voluntary trading. Check liquidation data to assess whatâs happening.
Before considering what the signals say, think about whether you can handle the worst-case scenario with a leveraged position.
#PAXG
When trading volume surges, many people instinctively assume money is flowing in, but that isnât necessarily the case.
Every trade has both a buyer and a seller, so higher volume alone doesnât mean there are more buyers or that money is flowing inâit only means that assets are changing hands more frequently.
Sometimes, a surge in volume is caused by widespread liquidations. Liquidation orders are executed involuntarily, so this kind of volume has a different meaning from voluntary trading. Check liquidation data to assess whatâs happening.
Before considering what the signals say, think about whether you can handle the worst-case scenario with a leveraged position.
#PAXG
