For a video breakdown of Transaction Volume and Token Velocity, click here.
This graph shows the aggregate amount of tokens across all transactions that happened on the network on a certain date. We currently offer Transaction Volume for BTC, ETH (including all ERC20 tokens) and EOS.
A spike in transaction volume either signals:
While not as strong of a price indicator as some other metrics in our suite, Transaction Volume can still be used for thorough mid-term analysis, or in tandem with other indicators.
Here’s the trx volume graph for Basic Attention Token (BAT), a decentralized ad network:
The per-day graph is still a bit noisy, so let’s smooth it out with a 7-day moving average (done with 1 click in Sandata):
As you can see, the correlation between price and trx volume can both be evident and strenuous at different times.
That said, the metric remains a strong complementary signal in any serious trading analysis.