CVD and Volume Delta
Volume delta is the difference between aggressive buy volume and aggressive sell volume. The CVD, or cumulative delta volume, accumulates this balance throughout the session.
How to interpret
Positive CVD suggests a predominance of aggressive buying. Negative CVD suggests predominance of aggressive selling. The reading becomes more useful when compared with price: if the CVD rises and the price does not rise, there may be absorption.
- CVD and price rising together: aggressive buying “working”
- CVD rises, price does not: possible passive sellers absorbing
- CVD falls, price does not: possible passive buyers absorbing
- Divergence in tops/bottoms: movement fatigue alert
Indicator Limits
CVD should not be used alone. It depends on data quality, the exchange, the pair and the liquidity context. In futures, CVD may reflect leverage and liquidations, not only “real interest” in the asset.
Combine with tape reading, sweeps and the comparison spot vs futures.
Where to trade with what you read on the tape
TapeRadar does not execute orders. If you decide to trade, use a liquid exchange, 2FA and keep position sizes small. Binance for majors and depth; MEXC for alts and listings.
Referral links (Binance and MEXC). We may receive commission if you register and trade at no extra cost. This is not financial advice. Crypto involves high risk.