What Are the Advantages of Using a CEX’s API for Price Data over On-Chain Data?
CEX APIs offer high-frequency, low-latency price updates from deep order books, which reflect real-time market sentiment and are less susceptible to single-transaction manipulation than shallow on-chain pools. The data is often cleaner and more reliable in terms of volume and depth.
However, this comes with the risk of relying on a centralized, off-chain entity.