#OnchainSignals On-chain insights analysis is a crucial approach to assess the health and value of cryptocurrencies. These insights are extracted directly from the blockchain, providing a transparent and objective view of the behavior of the network and its assets.¹

*Types of On-Chain Insights*

- *Issuance metrics*: These analyze the rate of creation of new coins, such as the annual inflation rate.

- *Transfer and transaction metrics*: These examine the frequency and volume of transactions on the network, such as transaction count and transfer volume.

- *Supply metrics*: These evaluate the distribution and movement of coins on the network, such as the total circulating supply and the distribution of the coin supply.

*Tools and Data Providers*

Companies like Chainalysis and Galaxy offer blockchain analytics solutions that enable investors and market participants to gain valuable insights into the behavior of cryptocurrencies.²

*Applications of On-Chain Insights Analytics*

- *Asset Evaluation*: Investors can use on-chain insights to assess the value potential of cryptocurrencies.

- *Trend Identification*: Analysis of transaction and supply patterns can help identify emerging trends in the cryptocurrency market.

- *Risk Management*: On-chain insights can inform risk management decisions, such as assessing market liquidity and volatility.

In short, on-chain insights analytics is a powerful tool for anyone interested in the cryptocurrency market. It provides a transparent and objective view of the behavior of the network and its assets, allowing investors and market participants to make informed decisions.