Definition ∞ Large deposits in the context of digital assets refer to substantial transfers of cryptocurrency into exchange wallets or decentralized finance protocols. These movements are often made by whales, institutional investors, or major market participants. Large deposits can signal an intent to sell or deploy significant capital within the market, potentially influencing asset prices. They are closely watched as indicators of market sentiment.
Context ∞ Tracking large deposits is a common practice among cryptocurrency analysts and traders, as these movements can precede significant market volatility. News reports often highlight unusually large transfers to exchanges as a potential bearish signal, suggesting an impending sell-off. Conversely, large deposits into decentralized lending protocols might indicate confidence in yield opportunities or a desire to collateralize assets for borrowing.
Blockchain Knowledge
Cryptocurrency Foundation
Cryptospace Newsfeed
