Links

Historical In/Out of the Money

Overview

The Historical In/Out of the Money (HIOM) provides the variation of holders’ profits over time. It shows the percentage of addresses that would have made money or lost money if they had sold at a particular point in time.

💡 How can I use it?

Historical In/Out of the Money (HIOM) for Bitcoin
The Historical In/Out of the Money (HIOM) is useful when comparing the percentage of addresses making money at two different points in time where prices are at a similar range. The difference in the addresses profiting provides an idea of whether momentum is on buyers’ or sellers’ side.
In the example above, we can observe that on October 28, 2019 21.37 million Bitcoin addresses were in the money at a price of $9,568. Comparing this to the data the HIOM shows on July 23, 2020 we see that the number of addresses in the money grew to 25.41 million, indicating a large amount of new addresses bought at lower prices or existing addresses took advantage to lower their average cost by buying the dip. Such growth is indicative of buying interest growing, potentially anticipating future price action as demonstrated in the example above.
⭐️ Quick Tip: The Historical In/Out of the Money shows buying/selling momentum by comparing the number of addresses profiting at two different points in time when price was at a similar level.
​