Definition ∞ Deep pocket buying refers to substantial purchases of an asset executed by large institutional investors or wealthy individuals. These significant acquisitions possess the capacity to absorb considerable selling pressure within the market. Such activity often indicates strong conviction from well-capitalized entities. It can precede or significantly reinforce upward price movements.
Context ∞ Tracking deep pocket buying activity provides valuable insights into the sentiment and positioning of major market participants. On-chain analytics tools frequently monitor large transaction volumes to detect this specific behavior. News reports often highlight these movements as indicators of underlying market strength or weakness.