I am trying to understand coins that have growth potential. I noticed the metric, but I still don't understand how to use it.
This is the percentage of coins held by 'whales' and the percentage of coins held by the TOP-10 holders.
For example, the coin $OM has 71% held by 'whales'. We have all seen what happens when one of them places a market sell order.
Many coins in my portfolio have similar indicators. For example, $AVAX . And for $SOL this indicator does not appear. Strange.
On one hand, such coins have limited circulation. In theory, they are very volatile. They can sharply go up/down. On the other hand, there is a high probability of a situation like OM.
But for $TON $HTX, the metric of the number of coins held by 'whales' is about 1%. That is, there is no one to lower the price.
Here are some thoughts. Coins like OM AVAX, etc. will not see growth with multiples. There is no one to pump them; everyone who can has already bought these coins. These coins will either be sideways or dump until the 'whales' exit, and only then can an upward impulse be possible.
But there are none like TON HTX, etc. There are options that they may be bought by 'whales', thus creating a pump with multiples.
I am trying to figure it out. The above is my conjectures and guesses. If anyone has already conducted similar research, please share the information 😉
It's clear that the price depends on market makers. And a paid market maker will create a fake pump to attract 'shrimps', and then the 'whales' will offload on them.
Analyzing transactions on the blockchain takes time. I hope someone has already done this before me and derived the metric as a percentage for 'whales' and 'top-10'.
With scalping, it's easier: in and out. But when holding, I want to buy coins that can provide growth, not like OM or other junk with delistings.
Good luck trading everyone ;)
