How do you interpret low trading volumes that we see lately?

[Franctoshi]

This is nothing to worry about, low volume simply tells you that the major market players, the institution, Banks , hedge funds or the market movers is not that actively buying and selling in a large quantities in the market within that period of time they're either building up their positions for a smart move because of the kind of funds they're trading with, so it majorly the retail traders that is actively buying and selling at the moment. Secondly the market at some point needs to cool off and balance the equilibrium after a fast run upwards or downwards.

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[Similificator]

Your first reason should be the reason why we're recording low volume. We're in a bear market and trading activities usually drops massively during this period as traders trading the spot market knows the charts mightn't matter as it's emotions that rules during this period. People sell out of fear of the market dumping immediately they see a dip and buy when they see any small renounced.

The Bitcoin high fees shoudn't have cause it because active traders already have their funds on the exchanges that they're using to trade and traders normally keep their profits made in stablecoin so they don't lose if the market dump and they can easily transfer in seconds.

- Yes, I believe so too since one's loss is another's profit in this industry which veterans take advantage of as much as they can, as they should. At this point, it will be a long waiting game.

- Not just the fees though, I also meant the incident of halting a couple of days ago which may or may not happen again depending on how the bitcoin network acts. Which can also be the reason as to why some traders are hesitating to transfer bitcoins from their personal wallets to exchanges. But let's say that the halting won't be a concern anymore, high fees is still a huge problem specially for traders that do not keep a lot of bitcoins on exchanges for security reasons. There are traders that always moves their coins from personal wallets to exchanges then back again after a huge trade, or maybe even transfer to another exchange.

Regardless of the reasons though, I hope that all of these gets better so that more opportunities can open for small time traders like us.

[doomloop]

When there are large trading volumes on the market, this tells us that the price of the coin is more fair.
If the price is not confirmed by trading volume, then  then we will see either a bearish trend with an increase in trading volume, or a bullish trend with an increase in volumes.
Fees on the Bitcoin blockchain have already declined and therefore BRC-20 tokens should not have a strong impact on trading.

I think if the coin has a high volume it means that its price is also high ( not fair or affordable ) because high volume means high demand. Take bitcoin for example. The crypto coin has the most volume among others and as usual, bitcoin is not affordable anymore for an average individual although we can still be able in smaller portions. Then we can wait for the bear run to save some money.

If we keep doing this, we can stack more bitcoins in our wallets and sell them for huge profits. It's great that the fees in bitcoin are now back to normal and the transaction speed is now fast again. Maybe experts have already find a solution to the recent problem that we are facing? Thanks to them.

[CarnagexD]

For some reason, maybe I just don't know why, lately I see very low trading volume for BTC in Binance.



I've quickly checked other exchanges, they are also do not have more volume comparing let's say 1.5 month ago.

So why do you think volume is so lo and what does it mean for the market? Is there more and more people hodling or something else going on there?

First, the Volume of trading depends on the participants of the market as a whole. It is not on the exchange you are using. The exchange is the shop you are buying and selling the only difference it can give compare to others is the spread, leverage available, and the market price execution. 

Low volume or consolidation in the marketplace simply means that there is still no participation of institutional funds or what traders call the "whales". They still don't participate. Probably because of the current market condition, seasonal tendency, the introduction of CBDC, and many fundamental. Technically and chart speaking, it's just a matter of liquidity.

When there is a big spike in price going higher or lower, then it is a sign of participation of large funds.

[Timmzzy]

fundamental is probably what moves the market most, its sometimes annoying when lets say your analysis are correct, but when volume is not there it chops and even try to come close to your S.L {STOP LOSS} in so doing making you to pullout of a winning trade, just so for it not to hit your S.L, this has happened to me countless times so what i do Now is to trade when market is hot 🔥.

[greek_hephaestus]

fundamental is probably what moves the market most, its sometimes annoying when lets say your analysis are correct, but when volume is not there it chops and even try to come close to your S.L {STOP LOSS} in so doing making you to pullout of a winning trade, just so for it not to hit your S.L, this has happened to me countless times so what i do Now is to trade when market is hot 🔥.

Did Not worry about this and there is nothing and major market players, the institution, Banks , hedge funds or the market movers is not that actively buying and selling in a large quantities in the market within that period of time they're either building up their positions for a smart move because of the kind of funds they're trading with them and they go for downwards fastly they kept standard position .