Been looking at volume patterns with price action on BTC and ETH lately. Noticed some interesting divergences during the recent moves.
What volume indicators do you guys actually find useful for crypto? Most traditional ones seem a bit off for 24/7 markets.
I find volume profile useful. OBV can show trends but it’s tricky with constant trading.
Just watch volume spikes on breakouts nothing else matters.
Volume weighted average price works better than most traditional indicators for crypto. The 24/7 trading actually helps smooth out the VWAP lines.
I track accumulation and distribution alongside price breakouts. When volume drops during a rally, that’s usually my signal to tighten stops or take profits.
The key difference I found is crypto volume spikes are way more dramatic than forex. A 300% volume increase isn’t unusual during major moves. Traditional indicators often can’t handle these extreme swings properly.
For divergences, I look at volume trend over 4 to 6 hour periods rather than daily. Helps filter out the noise from different timezone trading patterns.