Retail investors do not understand how to look at trends, following large investors is the right approach.

Rather than drawing lines to find trends, it’s better to add data flow

for a clearer understanding of the actions of major players.

Holder Concentration

Holder Concentration is an indicator that analyzes the structure of asset holders, used to determine whether assets in the market are concentrated in the hands of large investors or distributed among retail investors.

A brief explanation:

1. Black line: Represents price trend.

2. Green and red bar charts:

• Green bar chart: Indicates an increase in holdings by large investors (capital inflow).

• Red bar chart: Indicates a decrease in holdings by large investors (capital outflow).

Application of this chart:

Step 1: Price trend

• Pay attention to the upward or downward trend in price to judge the market direction.

Step 2: Analyze changes in holder concentration

• When the green area increases:

Large investors are buying, market confidence is strong, and prices may continue to rise.

• When the red area increases:

Large investors are selling, the market may face selling pressure, and prices may fall.

Step 3: Combine price and holder concentration to judge the trend

1. Price rising + Green area increasing:

Bullish strength is strong, may continue to rise.

2. Price falling + Red area increasing:

Market sentiment weakens, potential risk of decline.

3. When prices are volatile:

Observe whether new green or red areas appear to confirm the next trend direction.

Like and share for the next article continuation.