"Time whale: Cryptography increase and the power of smart money in the market"
The cryptocurrency world in recent years has been worried with anxiety as both investors and traders gather on the decentralized market. But what distinguishes them? In this article, we will study the key concepts that promote cryptographic growth, including open interest, smart money, and infamous "whale".
Open Interest: Market Activity 
One of the most important metrics of cryptocurrency is open interest that tracks the number of unpaid contracts that have not yet been settled. Open interest reflects the total value of all contracts at any time, giving a snapshot of market activities.
A great deal of open interest may indicate a strong market mood, as it suggests that there are more buyers than vendors competing for a certain asset. Conversely, a low -open percentage may indicate an imbalance between buyers and sellers, resulting in increased volatility.
Recently, the open interest in popular cryptocurrencies such as Bitcoin (BTC) and Ethereum (ETH) have increased dramatically, reflecting the growing interest of both institutional investors and retail traders.
smart money: Elite players
But what really is smart money? In the cryptocurrency room, smart money refers to high networks who have made significant market investments. These elite players often describe him:
Net Value : They have significantly assets that go beyond their cryptocurrency.
Investment horizon : They are ready to hold on to their investments for a long time.
3
Risk tolerance : They have a pleasant with the volatility of the cryptocurrency market.
It is known that smart money is a key factor in promoting market trends because they ensure their financial competence and resources to invest in the decision -making process. This has led to increased participation of smart money investors in the market who want to threaten their assets to achieve greater return.
Whale: The enigmatic investor
The whale is a high -level investor with a huge involvement of cryptocurrencies that can significantly affect the mood and price of the market. Whales are often characterized by him:
1
Net value
: They have significantly active than only their cryptocurrencies.
Investment horizon : They are ready to hold on to their investments for a long time.
3
Risk tolerance : They have a pleasant with the volatility of the cryptocurrency market.
Whales are usually individuals with high networks or institutional investors with a significant part of the market. Their purchase and sales activities can be shock waves through the market, affecting prices and market mood.
Crossing of whales and smart money
When whales and smart money interact, it's like a gaming changer in the cryptocurrency market. As we have seen, whales are often driven by their net value and investment horizon, while smart money investors are driven by their risk tolerance and the desire to stay on their investments for a long time.
The intersection of these two types of investors can lead to strong power in market trends. For example:
* Whales You can buy large coin blocks from smart money investors by entering liquidity on the market.
* Wise Money Investors can use their resources and competence to identify undervalued assets or possible investment opportunities that whales can ruin.
In conclusion, a combination of factors, including open interest, smart money and lousy whale, have contributed to the increase in cryptography. As the market continues to develop, it is important for investors to remain informed of these key concepts and how they affect the mood and price of the market.