Bitcoin (BTC) whales should only be followed on these exchanges, says CryptoQuant CEO

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Vladislav Sopov

There is only one category of exchanges to follow to understand whale behavior, says CryptoQuant’s Ki Young Ju

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Follow BTC Whales on Low Liquidity Exchanges, Not Binance, Says CryptoQuant CEONo Reliable ‘Sell’ Indicator in Bitcoin (BTC) Futures

Renowned on-chain analyst Ki Young Ju, CEO and Founder of CryptoQuant, a leading analytics platform, has shared a counter-intuitive “pro tip” for those interested in whale tracking (large gold holders). a cryptocurrency), whose behavior is associated with market movements.

Follow BTC whales on low-liquidity exchanges, not Binance, says CryptoQuant CEO

In order to detect the most crucial whale-focused trades, Ki Young Ju recommends paying attention to exchanges with shallow liquidity depth. To illustrate this position, he shared some examples of trades on Huobi, BitMEX, ByBit, Deribit and OKX futures trading platforms.

All long positions in his analysis were opened in January 2023 when Bitcoin (BTC) moved sideways between $16,500 and $18,000. This period of accumulation then served as the basis for the rally that pushed Bitcoin (BTC) above $31,400.

As Ki Young Ju has shown, a number of “visible” exchanges were made by whales during this accumulation period. A Huobi whale managed to buy Bitcoin (BTC) at $16,819.

Whales from other low-liquidity exchanges also opened long positions below $17,000. As such, they are about to see their positions doubled even with zero leverage.

On the other hand, should we take the statistics of Binance (BNB), it is almost useless since its trading volume is too high:

Binance’s large trading volume makes it difficult to identify individual trading behavior, unlike smaller exchanges

At press time, Bitcoin (BTC) is changing hands at $30,640 on major spot platforms.

No Reliable “Sell” Indicator in Bitcoin (BTC) Futures

To reliably identify whale behavior, Ki Young Ju recommended setting alerts for Taker Buy/Sell Ratio, or long/short ratio. Once this or that whale opens a long position, it goes up quickly.

At the same time, there is no safe “inverted indicator” to show bearish whale sentiment. Since they do not close long positions using market orders, this indicator cannot be used for shorts detection.

As covered by U.Today previously, the June 21, 2023 trading session was the most painful for Bitcoin (BTC) bears. Futures traders lost over $100 in positions that were largely short.

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