@shadow92sorcerer
In the cryptocurrency market, "exchange flow metrics" track the movement of assets into and out of exchanges, offering predictive insights into price trends. High inflows often signal potential selling pressure, as investors move funds to exchanges to trade, which may precede price drops. Conversely, significant outflows suggest accumulation or holding, indicating bullish sentiment and potential price increases. For example, a spike in Bitcoin inflows might foreshadow a correction, while outflows could hint at an upcoming rally. Investors can leverage on-chain data—such as exchange net flows, active addresses, and transaction volumes—to craft strategies. By monitoring these metrics via platforms like Glassnode or CryptoQuant, they can identify trends, set entry/exit points, and manage risk, enhancing decision-making in volatile markets.
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