Cumulative Delta
Cumulative delta is a technical indicator that measures the net difference between aggressive buying and aggressive selling over time. It tracks the cumulative sum of the difference between volume traded at the ask and volume traded at the bid.
A rising cumulative delta suggests that buyers are more aggressive, while a falling delta indicates aggressive selling. This tool is essential for spotting divergences between price action and order flow, which can signal a trend reversal.
In crypto markets, cumulative delta helps traders filter out noise and focus on the actual momentum behind a price move. It provides a deeper look into the intensity of market participants compared to standard price charts.