Distributed tracing is an essential tool for understanding the flow and interaction of requests across modern software systems, particularly in microservices architectures. By recording the sequence of activities within a system, distributed tracing provides end-to-end visibility, enabling developers to optimize performance, detect issues, and allocate resources effectively. It aids in identifying bottlenecks, debugging errors, and managing interactions between microservices while facilitating capacity planning and proactive monitoring. Various tools are available for distributed tracing, each with unique features, such as Coralogix for scalability and real-time observability, Jaeger for detailed trace visualization, and Zipkin for simplicity. Some platforms, like Datadog and New Relic, integrate tracing with broader observability features, while others, like OpenTelemetry, offer standardized approaches for diverse environments. Choosing the right tool depends on a system's complexity, budget, and specific needs for performance optimization and troubleshooting.