Velocity
Tech spec
| Field | Value |
|---|---|
| API name (slug) | velocity |
| Group | network value to transaction (nvt) |
| Unit / Valuetype | ratio / other |
| Shape | scalar |
| Resolutions | block, h1, h4, h8, h12, d1 |
| Endpoints | /v2/network_value_to_transaction |
| Tier | 0 |
| Last updated | 2025-08-31 06:33 UTC |
| Docs | Open in Swagger |
Brief Description: The rate at which bitcoin circulates in the economy.
Interpretation
In market analysis, a high Velocity suggests a high level of activity relative to the size of the market, which can indicate a buoyant or speculative market where bitcoins are frequently traded. Conversely, a low Velocity may signal that bitcoins are being held as a store of value or that the market is in a state of low activity, possibly during bearish conditions.
Advanced Explanation The Velocity metric is calculated by taking the total volume of bitcoin transacted on the blockchain within a certain timeframe and dividing it by the market capitalization.
Mathematically, it's expressed as:
Velocity = Total Transaction Volume / Market Capitalization
of
Velocity = 1 / NVT