Net Buying Strength

Definition ∞ Net Buying Strength measures the aggregate dominance of purchasing activity over selling activity for a digital asset within a specific timeframe. This metric quantifies the overall pressure from buyers relative to sellers in the market. A positive Net Buying Strength indicates that more capital is flowing into the asset than out of it. It serves as an important gauge of market momentum and demand.
Context ∞ Crypto news frequently references Net Buying Strength to assess current market sentiment and potential price direction. Discussions often involve analyzing on-chain flows or exchange order book data to determine if buyers are asserting control. A sustained period of strong net buying can precede significant price appreciation, offering a key indicator for market participants.