> **WHAT IS ON-CHAIN DATA?** On-chain data is Blockchain data. Blockchain is simply understood as blockchains containing data and linked together. *People commonly know 2 types of On-chain data:* * *Transaction data* (number of tokens received/transferred between wallets, number of tokens held by wallets) * *Block data* ( validation time, gas fees, rewards for miners/ validators/…) With the appearance of ***Smart Contract***, we will also see interaction data between wallets and smart contracts (eg: trading on Dex exchanges, decentralized borrowing, mint NFT,…) ***WHY NEED TO ANALYZE ON-CHAIN DATA?*** On-chain data cannot be faked, so it will provide provide us with the most accurate and objective information about developments in the market. On-chain data also helps us to track specific behavior of objects in the market. This is especially important when monitoring the activities of “*sharks” who possess a wealth of financial and informational resources to manipulate the markets. Therefore, tracking the sharks On-chain and acting rationally can help you become the “winner few” in the market.Also, data analysis can help us predict before situations and make reasonable investment decisions ***Some notes when analyzing On-chain data: *** * Knowledge and experience required: With On-chain, I This assessment is a rather in-depth method, requiring users to have background knowledge, as well as multi-dimensional perspectives to accurately evaluate and project the collected information. Another method of analysis: When I first started doing On-chain analysis, I kept seeing sharks buying and buying or seeing fish bringing tokens to the floor, I thought it was a discharge, so I lost a lot. everyone please combine On-chain analysis with other methods * Compare multiple sources of information: There are many tools that provide On-chain data, some tools will not be accurate. Therefore, it is necessary to compare and contrast information from many sources to get the most accurate assessment. * With data from the project’s website: When analyzing a new private chain project, there is very little data from 3rd parties, mainly from the project itself. So sometimes the numbers provided by the project are ** NOT** completely accurate (due to many typical reasons such as Marketing), so everyone needs to check that number on the Blockchain Explorer. * Regular updates: Because market behavior changes constantly, information also needs to be updated regularly in order to act quickly. * Should focus on behavioral analysis: Personally, I think On-chain is not divine at all. Anyone can see it. If people take the time to read, everyone can understand. So the most important thing is still from that data to analyze shark behavior from there to give insight. ***On-chain indicators to watch out for:*** * **Total Value Locked (TVL): **Simply understood this is the number of assets being staking in a DeFi protocol. Through the volume of TVL in the network, the higher the TVL, the more it shows that the project is very good, used by many investors and has a lot of potential for future development. * **Information about wallet team dev, miner, investor:** Most of this information is public. Thereby, you can know if the development team, investors have collected or released tokens or not? Should I invest in the project or not? Or mining coins like BTC need to pay attention to Miner’s wallet because their buying / selling behavior has a significant impact on the market. * **The amount of tokens deposited/withdrawn on exchanges: **When a token is continuously pushed to CEX exchanges, there may be a correction or sell-off or if the token is withdrawn a lot from the exchange to personal wallets then that’s a positive signal. * **Stablecoin deposit/withdrawal**: We all know that stablecoins are used to buy coins. When stablecoins show signs of minting and depositing on the exchange, it shows that confidence in the market is positive, many investors are willing to buy. On the contrary, if you witness stablecoins being burned and withdrawn continuously, it proves that investor sentiment is negative * **Active Address**: If the number of wallet addresses increases Up is a sign that many new investors are entering the market and cryptocurrencies are gaining more attention. Similarly, if a project has multiple wallet addresses that store that token, it shows that the project is showing positive signs.* (Note also should consider the time period for storing that token, because if The more wallets that store that coin for a long time, the better) and vice versa if the active wallet address drastically reduces the possibility of price movement to the downside.* * **The amount of coins held by holders**: Analysis On-chain can check how long an address hasn’t transferred crypto and the number of investors holding crypto. If the number of investors holding a cryptocurrency increases, it could mean that the supply of that cryptocurrency in the market will decrease and will spur a bull run if demand remains constant. * **Token Allocation: **This will tell you in whose hands most coins/tokens are? Sharks or individual investors? For example, an asset that has a few addresses holding a large percentage of the total tokens, proves it is vulnerable to price manipulation. Therefore, it is also important to analyze the ownership level of large token holders. * **Track shark wallet, Smartmoney:** Based on On-chain data, you can track wallets holding large amount of assets (sharks). See what coins they are selling or adding, based on which you can make investment decisions for yourself. ***SOME RELIABLE ON-CHAIN ANALYSIS TOOLS:* **For someone new to the market, I recommend focusing on the following tools: ***Defillama***: (https:/ /defillama.com/)(https://defillama.com/) This is probably the tool that I advise most newbies to research. Defillama focuses on TVL, meaning the token value is locked into the protocol. The increase in TVL shows that the project is receiving interest from the community and vice versa. In addition, Defillma also provides some basic data such as deposit/withdrawal amount from CEX exchanges ***Token Terminal***: (https://tokenterminal.com/)(https://tokenterminal. com/) This website focuses on the basic financial metrics of the project, most notably Revenue. The higher the revenue, the better the project (similar to stock analysis). There are some other data such as Trading Volume, TVL, Fees, … you can also refer to. Most of this data is for fundamental analysis of a project. ***Lunarcrush***: (https://lunarcrush.com/)(https://lunarcrush.com/) Token social data analysis tool (e.g. Twitter mentions, KOLs) what token are you talking about…) Personally, when researching the project, I will look at how many followers the twitter channel has, how the recent tweets interact and which KOLs are shilling the project! ***Crypto Slam:*** (https://cryptoslam.io/)(https://cryptoslam.io/) This tool will show you common data such as Volume, Floor Price … of the collections. NFT file. I also often pay attention to Blockchain by NFT Sales Volume to know which ecosystem is attracting the most NFT cash flow (for example, Solana at the beginning of this year had a good NFT wave when the trading volume was only lower than Ethereum) Once I have more experience then everyone will upgrade skills with the remaining cells. ***The ChainScan*** The ChainScans here I refer to as ethscan, bscan, solscan or layer2 like op, arbitrum,… each coin will have its own ChainScan. The parameters to care about when checking ChainScan are transactions, total transactions, daily transactions, the more users the blockchain has, the more transactions it has, which is one of the factors to evaluate the project. *** In addition, I encourage newcomers to follow some onchain analysis teams to give a more multi-dimensional perspective such as: (The Datafi)(https://www.facebook.com/ThedatafiVietnam), ( The DataNerd)(https://www.facebook.com/theDataNerd) or you (Tonny)(https://twitter.com/Tonny531_eth) specializing in onchain analysis by HC Capital*** **Or you can read the on-chain series here: (https://docs.google.com/document/d/1kyJTwjr1gzAZwraiCThW17QGnC1bJRwAHNyRnxGHwNE/edit)(https://docs.google.com/document/d/1kyJTwjr1gzGHwraiCThW17QGnCHNyRJRw) *(https://docs.google.com/document/d/1fKmakN0ubauiKDoxAEzQw0mbZJPjY5cpZcIsqgWvHhk/edit?fbclid=IwAR3yFoBKEMSeTmi0NNXFzvjJj_CeO-Ru5ap2Wd6oeqXe3lOU3cXrj-XiuJw#heading=h.b88annkxyqtj)(https://docs.google.com/document/d/1fKmakN0ubauiKDoxAEzQw0mbZJPjY5cpZcIsqgWvHhk /edit?fbclid=IwAR3yFoBKEMSeTmi0NNXFzvjJj_CeO-Ru5ap2Wd6oeqXe3lOU3cXrj-XiuJw#heading=h.b88annkxyqtj)** ***Advanced tools.* **Once you have some skills in reading and understanding Blockchain data, you will move to level 2 data on Blockchain , is to check the more advanced data, sift through the news and dive into the analysis of wallet behavior. Because On-chain only needs anyone with the tools to see it, sharks will have many ways to fool. ***Santiment* **(https://app.santiment.net/)(https://app.santiment.net/) Santiment is an On-chain data supply platform for the entire crypto market. Data on Santiment has been cleaned because of its high reliability. Santiment takes data from real-time sources, then preprocesses it to bring users intuitive On-chain data with the most understandable insights. Besides On-chain data, Santiment also has a number of tools such as a social tool for analyzing social news, closely related to daily price movements. ***Watchers* **(https://watchers.pro/)(https://watchers.pro/) This is a pretty hot tool recently and I also have an article about how If you use Watcher, you can read it again here: (https://www.facebook.com/groups/ryanvanhungnguoiban/permalink/525539666393083/)(https://www.facebook.com/groups/ryanvanhungnguoiban/permalink/525539666393083 /) ***Arkham* **(https://www.arkhamintelligence.com/)(https://www.arkhamintelligence.com/) Claimed by the founder to have a “feature” to eat out Nansen, this is a work Very nice tool that combines many features that other tools do not have. Currently, it is still free. Some of its outstanding features are being able to customize the amount of buy / sell value, customize and look up in any time period, extremely convenient! ***Nansen*:** (https://pro.nansen.ai/)(https://pro.nansen.ai/) This is the tool I use most often to analyze Smart Money’s movements. Nansen provides quite a lot of data so everyone needs experience and methods to know where to look when analyzing a project, to avoid being overwhelmed and wasting time. In addition, to use it, it requires more knowledge and experience than the previous three tools, including knowledge of smart contracts, block explorer, defi … ***Dune Analytics:*** (https://dune.com) /)(https://l.facebook.com/l.php?u=https%3A%2F%2Fdune.com%2F%3Ffbclid%3DIwAR0zGaHqXpY6ekPvkh5oY1omwnQIizymZ7a0M7RV8G0EX4rfwm2aMyGwNEw&h=AT0fvDzdvhl6lLCgUpJVFRQo3x2cgnmJcIB3l22fbxmoRaNvLk5vOTMsd0PNcbF9X1Zd-csTPthLeyovJXE8q5WXnB45N_KZBRhrXJaybILlMJUnPNAmVkuvi_5KqZQtAjXbPc86EavBEmB3wpc5&__tn__=-UK*F) Công cụ giúp query (truy query) On-chain data using SQL. For the best use, everyone will need to have a solid knowledge of SQL and a good understanding of blockchain terminology. And if you don’t want to code, you can also view dashboards made by others, but you still need to know blockchain and crypto to get insights. ***CryptoQuant ***(https://cryptoquant.com/)(https://cryptoquant.com/) CryptoQuant is one of the popular On-chain analysis platforms, quite easy to use. Personally, I see CryptoQuant and Glassnode as tools for analyzing BTC. In addition, CryptoQuant also provides loads of other important On-chain data such as On-chain data about miners, long term holders, short term holders… In general, everything On-chain of BTC is here! ***Glassnode***: (https://glassnode.com/)(https://l.facebook.com/l.php?u=https%3A%2F%2Fglassnode.com%2F%3Ffbclid%3DIwAR2KAG -nXllI3XIZT9QEGOQcKiYeCXRUNkjiWml5laDGy2dYFuXKM8VXLSU&h=AT2_U1NS3LIKSwYJVw_oTNljEDEw86ZMq71xjlykgNa4gQOlfrShl0s35JshGWsCluf-4eccTK45CvxlCaKN01pE77djoO5XUvjhSSmEBnzd4ZOBlbrbhGavtNT9EIaAndLsZOYJCvk0QfjScr0h&__tn__=-UK*F) Glassnode đã tiên phong nhiều metrics mới như SOPR, HODL Waves, Spent Output Age Bands… do đó đòi hỏi nhiều thời gian nghiên cứu. In the Workbench section, people can also calculate new metrics, but not to the extent of arbitrary data queries like Dune.