📢 Exclusive on Gate Square — #PROVE Creative Contest# is Now Live!
CandyDrop × Succinct (PROVE) — Trade to share 200,000 PROVE 👉 https://www.gate.com/announcements/article/46469
Futures Lucky Draw Challenge: Guaranteed 1 PROVE Airdrop per User 👉 https://www.gate.com/announcements/article/46491
🎁 Endless creativity · Rewards keep coming — Post to share 300 PROVE!
📅 Event PeriodAugust 12, 2025, 04:00 – August 17, 2025, 16:00 UTC
📌 How to Participate
1.Publish original content on Gate Square related to PROVE or the above activities (minimum 100 words; any format: analysis, tutorial, creativ
1. Definition of Trading Volume
Trading volume refers to the total amount of a particular asset (such as BTC, ETH, or USDT) that has been traded within a specific period. It is a key metric used to measure market activity and liquidity.
- In crypto markets: Trading volume is usually expressed in the number of coins/tokens traded (e.g., 1,000 BTC) or in the equivalent value in fiat or stablecoins (e.g., 50 million USDT).
- Timeframes: Common periods include 24 hours, 7 days, or 30 days.
2. Importance of Trading Volume
Trading volume is crucial for several reasons:
- Liquidity Indicator: High trading volume means it’s easier to buy or sell the asset without causing large price changes.
- Market Sentiment: Sudden increases or decreases in volume can signal shifts in trader interest or market sentiment.
- Price Confirmation: Strong price movements accompanied by high volume are considered more reliable than those with low volume.
- Volatility Assessment: Markets with low volume are often more volatile, as fewer trades can move prices significantly.
3. How Trading Volume is Measured?
- Spot Market: The sum of all completed buy and sell transactions for a specific asset pair (e.g., BTC/USDT) over a given period.
- Futures Market: Includes the total contracts traded, which may differ from spot volume due to leverage.
- Displayed Data: It shows 24-hour trading volume for each asset pair directly on the trading interface.
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