Market Vitality

Definition ∞ The degree of economic and transactional activity within a particular market. It reflects the level of interest, participation, and liquidity present. High market vitality suggests robust trading volumes and a dynamic environment for digital assets.
Context ∞ ‘Market Vitality’ is a key consideration for investors and analysts when assessing the potential for price appreciation and the ease of trading digital assets. News reports often analyze this metric in conjunction with trading volumes and the number of active participants to gauge market sentiment. Fluctuations in market vitality can signal shifts in investor confidence and the broader economic conditions affecting digital assets.