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Deriving Market Insights

Using the Tier 1 on-chain data collected, we can generate Tier 2 and Tier 3 market insights that are unique to Alphalytics.
Tier 1: Transfer Events, Daily Holder Balance, Inflows & Outflows
Tier 2: Top Holders, Top Movers
Tier 3: Concentration Index, Elite Entity Cohorts
To ensure our data is accurate as possible, we exclude all unqualified addresses. Unqualified addresses include the following:
  • Contracts - tokens held by contracts are usually locked, therefore they will not affect the token price.
  • Exchanges - due to the limited visibility of token activity, coupled with all the different variables that exist with exchanges, including exchange data to our calculations would generate inaccurate results.
Another method we use to ensure accurate data collection is by implementing a procedure called “cut tail”. This helps us trims contract addresses and wallet addresses that may otherwise negatively affect our data.
Here is a simple table detailing the category of wallets we remove, and why:
Category
Reason for removal
Top 1% of Holders
These addresses mainly hold tokens that are locked or not in circulating supply.
Bottom 1% of Holders
Many addresses have negligible amounts of tokens leftover after making a trade. And while these wallets technically still hold the token, they should not be considered in our calculations.
After conducting a considerable number of computations, we found that excluding these holders yields much more accurate results.
Our important indicators will be updated daily in units of tokens, as shown in the figure below:
Here is how our Tier 2 & Tier 3 data sets will be displayed:

Concentration Index

Date
Token_Address
Concentration Index
Sample Set
2022.11.07
AAVE
80.66
Cut min and max of 1% token addresses
2022.11.07
UNI
81.34
Cut min and max of 1% token addresses
2022.11.07
AAVE
80.68
Delete unqualified accounts ( ex : CEX、Contracts)
2022.11.07
UNI
81.36
Delete unqualified accounts ( ex : CEX、Contracts)
2022.11.07
AAVE
97.90
Both
2022.11.07
UNI
99.29
Both

Top_Holders

Date
Token_Address
TokenHold_By_ TopHolders
TokenHold_By_ AllHolders
TokenHold_By_ Included_Holders
Sample Set
2022.11.07
AAVE
6,211,042
16,000,000
6,833,693
Cut min and max of 1% token addresses and delete unqualified accounts ( ex : CEX、Contracts)
2022.11.07
UNI
527,652,118
1,000,000,000
544,416,442
Cut min and max of 1% token addresses and delete unqualified accounts ( ex : CEX、Contracts)
2022.11.08
AAVE
6,227,552
16,000,000
6,856,034
Cut min and max of 1% token addresses and delete unqualified accounts ( ex : CEX、Contracts)
2022.11.08
UNI
527,652,118
1,000,000,000
544,553,532
Cut min and max of 1% token addresses and delete unqualified accounts ( ex : CEX、Contracts)

Top_Movers

Date
Token_Address
TokenHold_By_ InflowEntities
TokenHold_By_ OutflowEntities
TokenHold_By_ AllHolders
TokenHold_By_ IncludedHolders
Sample Set
2022.11.07
AAVE
3,675,647
1,625,064
16,000,000
6,833,693
Cut min and max of 1% token addresses and delete unqualified accounts ( ex : CEX、Contracts)
2022.11.07
UNI
13,503,780
18,123,433
1,000,000,000
544,416,442
Cut min and max of 1% token addresses and delete unqualified accounts ( ex : CEX、Contracts)
2022.11.08
AAVE
3,699,942
16,681,088
16,000,000
6,856,034
Cut min and max of 1% token addresses and delete unqualified accounts ( ex : CEX、Contracts)
2022.11.08
UNI
13,396,519
1,625,064
1,000,000,000
657,907,051
Cut min and max of 1% token addresses and delete unqualified accounts ( ex : CEX、Contracts)