For Customers Log in
Contact Us

Market depth indicator Meaning

A technical tool (usually a visual overlay on a chart) that shows the real-time "Volume" of buy and sell orders at different prices. It is a real-time view of the "Order Book." Traders use this indicator to find "Walls"-large concentrations of orders that act as "Magnet" prices or "Barriers." If there is a massive "Buy Wall" at $40,000, it suggests that the price will have a hard time dropping below that level because there are so many buyers waiting there.

Unlike "Historical Volume" (which shows what happened), the depth indicator shows what might happen next. It is a "Leading" look at where the "Supply" and "Demand" are currently sitting.

However, traders must be careful of "Spoofing"-where a large player places a huge order to scare others, only to "Cancel" it right before the price hits it.

← Back to Glossary

Explore our services
Providing liquidity in the cryptocurrency market?
Authorize on our platform and do it smarter with FM Pulse.
pic

FM Marketplace

A reliable and high-performance crypto liquidity marketplace for institutions and businesses.

Learn more
pic

FM White Label

Launch your fully branded B2B crypto trading platform in under one week.

Learn more
pic

FM Liquidity Match

Crypto OTC-as-a-Service infrastructure for enhanced monetization and trade control.

Learn more

Scale your business, leave the hard work of your trading needs to us

Reduce your integration costs and operational risk across multiple access points with our platform

Get started