Volume is pressure
A DEX can report heavy turnover without offering deep execution. Volume is gross reported activity. Executable liquidity requires pool and route reserves, price impact, slippage, and stress behavior, while protocol TVL is broader nominal balance context.
How it connects to liquidity
A volume surge gains context when it lines up with fee growth, persistent user activity, and separately observed pool or route depth. On its own, it can reflect arbitrage, incentives, wash activity, or a one-day liquidation event.