January 31, 2026

Trading imbalances between supply and demand

Trading imbalances between supply and demand

Trading imbalances between supply and demand

Trading imbalances between supply and demand

Step App/Tether OKEX:FITFIUSDT
bowtrix


Trading imbalances between supply and demand

You can literally just buy coins that continually have a higher volume than their market cap and take profit when they become similar… Yeah, sounds crazy. But hear me out.

Here is the reasoning for why this would work *in theory* ->

The price is determined by supply and demand , right? Well, the volume is the demand, and the market cap is the supply, more or less. We see signs that the demand is higher than the supply in a big way when the volume consistently outstrips the market cap. Because of this volume , you know that the fiat sitting ready to buy this token as it rises is sufficient and the lacking side is the supply of the token itself. You can also see the inverse of this with assets like AXS that are only able to trade 5-10% of their market cap in volume because of the lack of demand for the asset and surplus of supply. This causes tokens like AXS to fall in price and build a strong downtrend and tokens like FITFI to rise and build a strong uptrend.

Previous Article

Crypto.com (CRO) slumps 30% as staking rewards are slashed

Next Article

ETH 2 Scenarios

You might be interested in …

WABIBTC

WABIBTC

WABIBTC TAEL / Bitcoin BINANCE:WABIBTC Crypto-Mafioz This coin in down trend since 2018 no we see double bottom and it might go up. Long only if it break out from the downtrend.

ETHUSDT is about to fall

ETHUSDT is about to fall

ETHUSDT is about to fall Ethereum / TetherUS BINANCE:ETHUSDT Marjansadeghian You can see a Gartly pattern is about happen in the 1H chart therefore we can expect Ethereum to fall down to lower prices. There […]

STORJ/USDT

STORJ/USDT

STORJ/USDT Storj / TetherUS BINANCE:STORJUSDT furkanrl10 below the trend. Bitcoin ruined everything. But we will fix it