Identifying Accumulation

1.4 Identifying Accumulation and Distribution Patterns

Building on delta volume analysis, Insiderdepth enables users to detect critical market patterns such as accumulation and distribution by large market participants. Accumulation occurs when significant buying pressure builds without immediate price increases, often indicating that large wallets or institutions are quietly building positions in anticipation of a breakout. Conversely, distribution is characterized by increased selling pressure during periods of price stagnation, suggesting that assets are being offloaded discreetly to avoid triggering panic selling. For instance, a trader might notice a consistent positive delta on Coinbase (e.g., $94,200.00) over several hours, paired with low price volatility, signaling potential accumulation before a bullish move. Alternatively, a spike in negative delta on ByBit (e.g., $93,600.00) during a sideways market could indicate a silent sell-off, warning of an impending downturn.

By providing these insights, Insiderdepth empowers users to anticipate major price movements, adjust their strategies, and position themselves ahead of market shifts.