The total amount of coins held in the exchange addresses.
The total amount of coins held on exchange addresses.
Exchange reserve is a collective measure of potential coins that are ready to be sold in the market.
Exchange Reserve is the accumulated result of Exchange In/Outflow & Netflow which naturally follows the indications that in/outflow has. Similar to Exchange NetFlow's interpretation, an increasing trend in netflow indicates the selling pressure and the decreasing trend indicates the buying pressure.
However, instead of Exchange In/Outflow & Netflow indicating the specific moment or period, Exchange Reserve is easy to track the result of the entire period's movements.
By value itself
It indicates the degree of accumulated selling pressure in the exchange
High : High selling pressure
A large number of coins are staying in the exchange to be traded indicating high selling pressure
Low : Low selling pressure
A Small number of coins are staying in the exchange to be traded indicating low selling pressure
By examining trend
It shows the changing status in scarcity
Increasing trend: Decreasing scarcity -Bearish
More coins are available in the exchange indicating decreasing scarcity of coins that are being traded which supports bearish movement
Decreasing trend: Increasing scarcity - Bullish
Fewer coins are available in the exchange indicating increasing scarcity of coins that are being traded which supports bullishmovement