The total BTC amount flowing into or out of exchange divided by the total BTC amount transferred on the whole Bitcoin network.

The total BTC amount flowing into or out of exchange divided by the total BTC amount transferred on the whole Bitcoin network.

$\text{Fund Flow Ratio} = \frac{\text{Total Exchange Inflows + Outflows in BTC}}{\text{Total Transferred BTC (whole network)}}$

Fund Flow Ratio provides the number of bitcoins that exchanges occupy among the bitcoins sent underlying the Bitcoin network. Knowing the number of funds currently involved in trading can help you understand market volatility.