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FFR / Fund Flow Ratio

Fund Flow Ratio - all exchangesFFR
Fund Flow Ratio - spot exchangesFFR-S
Fund Flow Ratio - derivative exchangesFFR-D

INTERVALS 
Tier 1:  1M, 1W, 3D, 1D	
Tier 2:  1M, 1W, 3D, 1D, 12h, 4h, 2h, 1h, 15m, 10m, 5m, 1m	
Tier 3:  1M, 1W, 3D, 1D, 12h, 4h, 2h, 1h, 15m, 10m, 5m, 1m



Fund Flow Ratio (FFR)



What is it?



Fund Flow Ratio (FFR) is an indicator used to analyze the flow of funds in the cryptocurrency market.

How to use it?



The FFR indicator measures the ratio of Bitcoin deposits and withdrawals on exchanges to the total number of transactions on the Bitcoin network. Changes in FFR can provide valuable insights into investor behavior and the overall market sentiment.

Pros
Indicates increased trading activity on exchanges
Can signal bullish periods and the influx of new investors

Warnings
A high FFR does not always directly translate to an increase in BTC prices
It's advisable to analyze the indicator in the context of other market data

Cons
May not accurately reflect market sentiment in unusual situations




High values of the indicator can indicate higher investment activity on exchanges compared to overall transaction activity on the Bitcoin network. Such situations are often associated with bullish trends, as they suggest that investors are more inclined to trade and invest through exchanges rather than conducting transactions directly on the BTC network. However, it's essential to always consider the broader market context and other indicators to accurately interpret market sentiment and trend directions.

Updated on: 07/03/2024

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