#OnChainInsights On-chain data refers to transactions that have been verified and recorded on a blockchain. On-chain data is publicly accessible through block explorers, and users can utilize this information to determine potential price movements. On-chain analysis uses the data to predict trends and measure market sentiment, which involves monitoring how funds move on the blockchain to detect potential trading opportunities.
On-chain analysis leverages multiple metrics, such as active addresses, transaction volume, supply distribution, and total value locked in relation to an asset's price action. Realized profits and losses, supply in profits or losses, and realized capitalization are the main on-chain indicators for market action.