The Market Classification Protocol (MCP) has introduced a novel approach to analyzing cryptocurrency market behavior by processing raw data into behavioral patterns. The system classifies wallets into categories such as Trader, Accumulator, or Distributor, and detects changes in behavior, such as a whale shifting from trading to dumping. Additionally, it calculates risk scores, including Coordination and Manipulation Risks, and predicts market phases like Expansion, Distribution, and Accumulation.
Recent findings from the MCP indicate that 52.1% of wallets are classified as Traders, suggesting an active market environment. Meanwhile, 47.7% fall into a Mixed Mode, indicating uncertainty and a watchful stance, while only 0.2% are Pure Accumulators, reflecting low conviction among investors. This data suggests a healthy trading environment, albeit with limited long-term belief in the market's potential.
MCP Analyzes Wallet Behavior, Reveals Market Sentiment
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