The trading volume of any project depends a lot on that project because it can be seen that when the trading volume is up, many new investors join and they will continue to invest in that project so that more volume is up and the price of the token increases a lot. In this case, in many cases Project token price goes up so Trading Volume plays an important role in a project.
Volume is one of the indicator and it can actually confirm the trend so if there’s a good volume you can expect many investors to come in, but that is not a guarantee though since volume can also tell if it’s already overbought or oversold. If you want to have a good signal, use volume along with the other indicators, many traders forget to look at the volume and that’s why their analysis is not working, volume really matters to me.