BTC Chip Concentration Signals Potential Volatility, According to Analyst

According to BlockBeats, on-chain data analyst Murphy highlighted that BTC chip concentration serves as an effective early warning tool for potential volatility. When the concentration exceeds 5% of the current market price by 13%, it enters the warning zone, and more than 15% is considered high risk. The higher the concentration, the greater the likelihood and severity of volatility. Currently, BTC chip concentration stands at 11%, which is moderately high but not yet in the warning zone above 13%. Therefore, the likelihood of significant fluctuations is low from a chip structure perspective, as it does not meet the criteria for 'sequential reaction'.