Near Term Supply

Definition ∞ Near term supply refers to the quantity of a digital asset that is readily available for sale on exchanges or within liquid decentralized finance protocols over a short time horizon. This metric often indicates immediate selling pressure or liquidity available to meet demand. A high near term supply can suggest potential price resistance, while a low supply might indicate a propensity for upward price movement. It offers insight into immediate market availability.
Context ∞ The current discussion regarding near term supply in cryptocurrency markets frequently involves analyzing exchange order books and on-chain movements to gauge immediate market pressure. A key debate centers on distinguishing between temporary liquidity injections and sustained availability, and how this impacts short-term price predictions. Monitoring changes in near term supply provides critical context for understanding potential price volatility and immediate trading opportunities or risks.