WebSocket Streaming Data
WebSocket is a communication protocol that provides full-duplex, bidirectional communication channels over a single TCP connection. In trading, it is widely used to stream real-time market data, such as order book updates and trade history, from exchanges to traders.
Unlike traditional HTTP requests, which require the client to ask for data, WebSockets push data to the client as soon as it becomes available. This is crucial for high-frequency trading, where receiving information with minimal delay is paramount.
By maintaining a persistent connection, traders can react instantly to market changes. It is a lightweight and efficient way to handle the massive streams of data characteristic of modern digital asset markets.