What's the difference between trading volume and price?
Trading volume measures how many cryptocurrency units are bought and sold over a specific period, while price is what those units cost at any moment. Think of it this way: if Bitcoin's price is $40,000, that's its value. But if $10 billion worth of Bitcoin trades hands daily, that's the volume. High volume often indicates strong market interest and can suggest price movements are more legitimate. Low volume might mean fewer traders are interested, making prices more volatile or easier to manipulate. Both metrics matter: price tells you value, while volume reveals market strength and liquidity behind those price movements.
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