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What is Trading Volume?
Volume is the total amount of an asset traded in a given period. High volume confirms price moves; low volume suggests weak momentum.
Full Explanation
Trading volume measures how much of an asset changes hands during a time period (usually 24 hours). It's expressed in units of the asset or in fiat value. Volume confirms price trends: a price breakout on high volume is more reliable than one on low volume. Volume spikes often precede significant price moves. Key indicators: Volume-Weighted Average Price (VWAP), On-Balance Volume (OBV), and Volume Profile show volume distribution at different price levels.
Example
Bitcoin's 24h volume of $30 billion means ₹30 billion worth of BTC was traded in the last day. A sudden volume spike might signal a whale buy or sell.