Concentration Index + Concentration Momentum
Investors can use the Concentration Index as a risk management tool that helps gauge the level of decentralized ownership of a particular token.
With a range from 0-100, the Concentration Index measures how much influence Top Holders and Top Movers have on token price.
The Concentration Momentum helps visualize the movement of tokens among holders.
When the momentum meter is pointed further to the right side, Strongly Concentrating, it indicates that token ownership is becoming more centralized. In other words, more tokens are falling into the hands of fewer addresses - this is how whales are born.
When the momentum meter is pointed further to the left side, Strongly Dispersing, it indicates that token ownership is becoming more decentralized. In other words, whales are losing their influence on token price.