Market Intelligence - April 21

Welcome to the pioneering series of Crypterium Market Intelligence (CMI). CMI aims to analyze the trade events that occur within any given day, using data from Crypterium's official exchanges (currently, just Hitbtc) in order to bring to knowledge useful information that is ordinarily hidden from the average trader and investors. It is also important to state that our analysis will focus only on CRPTBTC, since it controls over 80% of the CRPT market.

To achieve our aim, we will first bring out the facts : in terms of trade volumes, price low and high etc and then plot out the distribution of the trades made within a given day. Based on this, we will try to find a correlation between major news events and trader's behaviour. We will then attempt to draw inference and conclusions which could be useful in making future trade decisions and market evaluation.

Since our aim is to bring understanding of the market, even to the novice, we shall try as much as possible to keep things simple and short.

That said, lets dive into the business of the day. We shall analyze the trade of the previous day (April 21) in an attempt to understand the behaviour of the average trader.

The market opened on a good note at 0.00010509 (which is higher than ICO price of 0.0001) and closed at 0.00010976 thus making a total pip movement of +467, with 325, 300 CRPTs exchanged in a total of 631 trades, evaluated at $315, 595.9. This is positive for investors, considering that the day market was bullish.

April 21 - Crypterium Market Summary

However, when we dig deeper into the trades that occurred during the day, we would see that there are more short positions than long in a ratio 55:45. Although, we have more sell off than buys, the percentage ratio is still reasonably skewed and does not reveal the behaviour of the majority traders.

Digging even much deeper, a distribution analysis of the actual trades that were placed, shows that over 38% of total trade were on short position and valued within the day's lowest price range of 0.00010201 - 0.00010272 BTC, while just above 5% of the day's trade were placed within the highest price range of 0.00010903 - 0.00010976 and are on the long position. 

Crypterium Trade Behaviour - April 21

A further check shows that the 38% traders who sold off their CRPT holdings did so all through the day with the peak trade around mid-day, as against the 5% traders who bought at very high prices. These buyers executed their trades within the first and last 2 hours of the day.

Chart shows the trade pattern for transactions that created the day's high and low prices.

In summary, CRPT closed bullish, simply because the last 38 transactions in the day with a volume of 9,200 CRPTs were placed on long positions at high price. (In fact, at the day's highest price) Without this, the market would have closed at about 0.0001033 (which would have made the day's trade bearish) as there was no major news event in the course of the week.

In conclusion, the vast majority of the traders sold off their CRPTs at very cheap prices.

Thanks for reading, and we hope that the information was useful. Please drop us a comment. We would like to get your contribution and thoughts.