——Learn to read the data analysis of the first-level inscriptions——

"Avoidance Guide"

With the continuous development of BRC20 inscriptions in the Bitcoin ecosystem, in addition to the success of ordi and sats, more and more first-level inscription currencies are no longer as pure as FREE MINT in the initial period. They have lost the fairness, justice, openness, decentralization, and no project party of the inscription itself. They have become more of a tool for cutting leeks. Even many of the first batches of inscription currencies deployed have either returned to zero, or have no market, or have been sucked away by a large number of chips at a low price by a certain project party and then repackaged, pulling the market to make false data to cut leeks, just like the chaos of ERC20 tokens in 2017. As everyone knows, the future value and importance of Bitcoin ecology to Bitcoin are self-evident. Of course, as everyone thinks, the opportunity to get rich quickly still exists, and there are still many in the long run, but the more everyone thinks, the more you have to keep your eyes open, because there will be more scams and pits in this period, because everyone believes that where there is an opportunity, there must be someone who uses it to cut leeks!

During this period, all participants must improve their awareness, be vigilant, and learn to analyze independently so as to distinguish the true from the false and not be fooled!

Learning to read data is a very important thing, because a lot of data can be falsified, but learning to read data analysis can help you identify which data is falsified and successfully avoid pitfalls.

Let’s first introduce what data there is (taking the EURET WEB3 Bitcoin Gold 𝛑 data as an example) (I personally think that Binance’s data analysis is not as detailed and convenient as EURET’s)

From top to bottom:

1. [24-hour trading volume]: the current 24-hour trading volume (that is, from this moment yesterday to this moment) is calculated with a 24-hour period. The 24-hour trading volume at each moment is calculated. In many cases, you may find that there are 8 BTC trading volumes just now, but after a while, it may become 6 BTC. This is caused by this calculation logic (unit: BTC, small body is US dollars, K=1000)

2. [Transaction Amount]: The total transaction amount of this currency from the time of issuance to the present (unit: BTC is in US dollars, M=1 million)

3. [Market value]: the total supply of this currency × the current floor price (unit: BTC, small body is US dollars)

4. [Holder]: refers to the number of addresses holding this currency. The total number of transactions accumulated from the issuance of this currency to the present is also called [number of turnovers] or [turnover rate].

5. [Floor Price]: the lowest price of the current order

6. [24-hour transaction count]: The number of transactions in the current 24 hours. The rules are the same as the 24-hour transaction amount. Both are calculated based on a 24-hour cycle.

7. [Number of holdings and proportion]: the number of holdings in all holding addresses of this currency and the proportion of this currency in the total supply. The proportion data can be used to analyze the holding dispersion of this currency.

After understanding the meaning of each data, let's do data analysis:

Without knowledge or understanding of the data, many people will simply use a certain data to make a point. This is absolutely wrong. No single data can make an accurate judgment because all data can be artificially intervened (brushed out, also called fake data).

1. The 24-hour transaction volume can be increased. In order to make money, many inscription currencies increase their transaction volume to increase exposure in the rankings, increase attention, and attract players to enter the market. This is usually a common practice in the first-level inscription market (if you increase the 24-hour transaction volume, the total transaction volume will also accumulate)

2. The market value can be increased by increasing the floor price.

3. You can swipe the address you hold, and it can be done with various technologies and hard work.

4. The floor price can be raised. Many inscription currencies also raise the floor price to increase the ranking of price increase in order to cut leeks and increase attention

, attracting players to enter the market, the same logic as increasing transaction volume

5. Increasing the transaction volume will increase the number of transactions or the number of transactions in 24 hours

So since they can all be swiped, how can we tell them apart? The next step is a comprehensive analysis. Among all the data, the most important data is not the 24-hour transaction volume or the floor price, but the number of transactions in the bottom 24 hours. This represents the turnover rate of this currency, and also determines how many real users and community activity there are, and whether you can sell it after you buy it. Because everyone should not ignore one problem, swiping all the data has a cost (Gas fee). If you want to rush to the trading volume rankings, you can rush up by swiping a few large orders, but if you swipe the turnover rate, it will consume a lot of Gas costs. Each transaction is calculated at an average of US$10, and 100 transactions are US$1,000 or even more at high times. No dog dealer can afford to swipe continuously, so basically by comparing the transaction volume and the number of transactions, it is usually possible to analyze whether the data is swiped, generally 24 The hourly transaction volume may be ranked first, but the number of transactions is pitifully small, or does not conform to the natural transaction volume. The number of transactions is not proportional to the transaction volume because the cost is too high. The dog dealer will not brush hundreds of small orders to increase the transaction volume. In addition, the current first-level inscription market cannot realize robot brushing, and manual brushing is also impossible (if the number of transactions is small, don't enter, it is definitely a pit)

The second thing to look at is the floor price and the number of holders. The floor price of many inscriptions has been pulled up to a high level, but the number of holders is pitifully small, and there is almost no growth. It is definitely a big pit!

The second thing is to look at the holding ratio of the holding address, which gradually decreases from the first address. The lower the proportion of the top ranking, the higher the dispersion of this currency, which means fewer large users and lower risks (but this is not absolute, because the holding ratio can also be split). But at least the higher the dispersion, the better, and vice versa!

The next thing is the release time (deployment time). If there is no problem with the above data, the FREE MINT inscriptions that are released earlier or deployed in the first batch are relatively fairer and purer. The later the deployment time, the more vigilant you should be. Basically, they are released to cut leeks (personal opinion, not absolute)

Another problem is that the number of holding addresses does not match the market value, that is, the price is inflated, and the real number of addresses cannot support the current market value, which is also very dangerous. If the community consensus is not strong enough, the floor price will be pulled up again and again. When one day the big players flee and smash the market, it will eventually become a game of running fast, and it will be difficult to turn around, and it will be rolled up until it can't be sold!

Also, inscriptions with the same name as mainstream coins cannot be listed on mainstream exchanges, which means they have no future, so don’t touch them!

After studying the above data analysis, let's look at the data of BitGold 𝛑 again. By comparing it with other inscription data, the truth and falsehood are clear at a glance, and the strength is also clear at a glance! Only with strong consensus can there be sustainable data, not a flash in the pan! (The above analysis is for reference only, speculators can ignore it) #新币挖矿 #BTC走势分析 #Meme币你看好哪一个？ #铭文即将起飞 #比特金𝛑