How to Use On-Chain Data for Crypto Trading Decisions
Sumedha Sen
Transaction volume measures the total amount of cryptocurrency transferred on the blockchain over a specific period.
The number of active addresses represents the unique addresses involved in transactions within a given timeframe.
Whales are large holders of cryptocurrency who can significantly impact the market with their trades.
Tracking the flow of cryptocurrency to and from exchanges can help traders understand market sentiment.
The NVT ratio is similar to the price-to-earnings ratio in traditional finance that compares the market capitalization of a cryptocurrency to its transaction volume.