Top Holders, Top Traders and Cluster Risk
1. Top Holders
This widget provides a comprehensive view of token distribution, trading patterns, and potential risks associated with token concentration. It combines three critical tools—Top Holders, Top Traders, and Cluster Risk—to help investors and traders make data-driven decisions.
What It Does
Displays the top 50 wallets holding the largest amounts of a specific token.
Provides insights into:
Wallet addresses.
The number of tokens held.
Percentage of the token’s total supply controlled by each wallet.
Use Cases
Assess Token Decentralization
A high concentration of tokens in a few wallets may increase the risk of price manipulation.
A more decentralized distribution suggests a stable ecosystem with reduced dependency on whales.
Monitor Whale Activity
Identify accumulation or distribution patterns of top holders.
Detect large token movements, which could signal upcoming price changes.
3. Cluster Risk
What it does
Evaluates on-chain data to identify risks associated with token concentration in specific clusters.
Highlights large groupings of holdings that could pose systemic risks to the token’s ecosystem.
Use Cases
Identify High-Risk Concentrations
Detect clusters where a few wallets hold a significant percentage of the token supply.
Understand the potential impact of token dumps by these clusters.
Analyze Distribution Patterns
Assess whether tokens are widely distributed across many holders or concentrated in a few key wallets.
Risk Mitigation
Use cluster risk data to avoid investing in tokens with unhealthy distribution patterns.
Why It’s Important
This combined widget equips users with a holistic view of a token’s ecosystem.
By understanding who holds, trades, and clusters tokens, investors and traders can:
Identify opportunities for trading.
Mitigate risks associated with token distribution and trading behavior.
Make data-driven investment decisions with greater confidence.
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