Cumulative Volume Delta

Cumulative Volume Delta is a technical tool that calculates the difference between buying volume and selling volume at each price level, aggregated over time. It provides a granular view of order flow, revealing whether market participants are aggressively lifting offers or hitting bids.

In crypto markets, this helps traders see the hidden intent of institutional players who may be accumulating or distributing assets. A positive delta indicates aggressive buying, while a negative delta signifies aggressive selling pressure.

When price moves in one direction but delta moves in another, it indicates a potential divergence and a likely trend reversal. This metric is vital for understanding real-time market microstructure and order execution dynamics.