Definition ∞ Crypto exchange flow refers to the movement of digital assets into and out of centralized cryptocurrency exchanges. This metric tracks deposits and withdrawals across various platforms, providing a high-level view of market participant behavior. An inflow suggests an intent to sell or trade, while an outflow often indicates accumulation or movement to cold storage. It is a fundamental on-chain data point.
Context ∞ Monitoring crypto exchange flow is crucial for market analysts and is regularly cited in crypto news to gauge immediate buying or selling pressure. Significant changes in these flows can precede notable price movements, offering insight into market sentiment. Understanding these trends helps assess the current supply dynamics available for trading.