Trading volume metrics are quantitative measures that track the total amount of a specific digital asset traded over a given period. These metrics provide insight into market activity, liquidity, and investor interest. High trading volume often indicates strong market participation and price validation.
Context
The discussion around trading volume metrics in crypto often addresses concerns about wash trading and inflated figures reported by some exchanges. A critical future development involves the implementation of more reliable and standardized reporting methods across the industry. This will help provide a clearer and more accurate picture of genuine market activity.
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