BTC Trading Indicators Explained: A Comprehensive Guide to Market Analysis

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Introduction to BTC Market Indicators

Understanding Bitcoin's market dynamics requires analyzing key trading indicators. This guide explores 13 essential BTC metrics available on Feixiaohao APP's Discovery section, helping traders identify trends and make informed decisions.

How to Access BTC Indicators

Navigate through: Feixiaohao APP → Discovery → Market → BTC Indicators

Core BTC Trading Metrics

1. Net Capital Inflow

Measures the difference between:

A 24-hour net positive value indicates stronger bullish momentum, reflecting market sentiment intensity.

2. Contract Open Interest

The total sum of:

3. 24-Hour Spot Trading Volume

The cryptocurrency's total spot market transaction value over one day.

4. Exchange Long/Short Ratio

The proportion of:
👉 Long positions vs short positions
Across major exchanges' derivative markets.

5. Liquidations Data

Tracks:

6. Large Contract Orders Monitoring

Identifies significant trades exceeding $200,000 per transaction in derivatives markets.

7. Contract Premium Rate

Calculated as:
(Contract Price - Spot Price) / Spot Price × 100%
Averages premium/discount rates across exchange contract types.

8. Volume Ratio

Compares:

9. Market Dominance

Bitcoin's capitalization as a percentage of total crypto market value.

10. Turnover Rate

Formula:
(Trading Volume / Circulating Supply) × 100%
Measures token liquidity and trading frequency.

11. Active Addresses

7-day change in:

12. Top 100 Wallet Holdings

Tracks accumulation/diversion patterns among major holders.

13. Hash Rate

The blockchain's current total computational power securing the network.

FAQ Section

Q1: Which indicator best predicts BTC price movements?

A: No single metric guarantees predictions, but combining net inflow, open interest, and liquidation data provides strong directional signals.

Q2: How often should I check these indicators?

A: Daily monitoring is recommended during volatile periods, with weekly checks in stable markets.

Q3: Why does contract premium matter?

A: Significant premiums may indicate:

👉 Understanding market arbitrage strategies

Q4: What's a healthy long/short ratio?

A: Balanced markets typically show ratios between 0.8-1.2. Extreme values (below 0.5 or above 2) suggest potential trend reversals.

Q5: How reliable is hash rate as an indicator?

A: While reflecting network security, hash rate changes often lag price movements by 1-2 weeks.

Q6: Can turnover rate identify manipulation?

A: Abnormally high turnover may suggest wash trading, especially when paired with disproportionate price movements.

Conclusion

Mastering these 13 indicators provides a multidimensional view of Bitcoin's market health. Regular analysis helps traders:

For advanced analytics, consider combining these metrics with technical analysis patterns and macroeconomic factors.