Price axis and volume axis
#axis The price axis (usually the vertical axis on the right) shows the price levels of the cryptocurrency. The volume axis (usually the vertical axis on the left or at the bottom) displays the trading volume, which is the number of units traded during a specific timeframe.Â
High trading volume can indicate strong interest and potential price movement, while low volume might suggest a lack of interest or uncertainty in the market. In the example below, taken from Bybit, the trading volume is illustrated at the bottom of the graph, with an accurate volume indicator to the left of the bottom.
High trading volume can indicate strong interest and potential price movement, while low volume might suggest a lack of interest or uncertainty in the market. In the example below, taken from Bybit, the trading volume is illustrated at the bottom of the graph, with an accurate volume indicator to the left of the bottom.
Cryptocurrency chart indicators and overlays
#CryptoMarketMoves Indicators and overlays are tools used to enhance chart analysis. While overlays are applied directly on the price chart, indicators are typically displayed in a separate pane below the main price chart. They do not directly overlay the price action but provide additional information based on the price and volume data.Â
Think of indicators and overlays as tools for enhancing a photo. Overlays are like filters that are applied directly to the photo to change its appearance, adding effects like brightness or contrast directly to the image. They are also applied directly to the price chart to give a clearer view of the price action.
Indicators are like the histogram or metadata displayed below the photo, providing additional information such as exposure or color balance. They donât change the photo itself but provide extra details to understand it better, just as indicators offer insights based on price and volume data in a separate pane below the main price chart.
$BTC Both may be accessed from dedicated menus, as showcased by Binance