Have you noticed:

In the same price range, sometimes prices fluctuate repeatedly, while other times they pass through in one go?

The answer lies in [Chip Distribution].

It directly tells you where the cost of holdings is concentrated across the entire market, helping you instantly understand the truth of trading competition!

1. What is Chip Distribution?

Chip Distribution is the rearrangement of transaction volume over a past period based on different prices, depicted as horizontal bars.

The longer the bar: Indicates that there has been more historical transactions at this price, representing a concentration area of costs.

The shorter the bar: Indicates very few transactions occurred at this price, suggesting it was passed through quickly.

Assuming there were 1000 units traded over a period:

• 200 units around $100  
• 500 units around $90  
• 250 units around $80  
• 50 units around $70  

Represented as horizontal bars:

The bar around $90 is the longest, indicating the most transactions occurred here in the past.

2. Chip Peaks and Chip Valleys

• Chip Peak (long bar): The busiest transaction area in the market. When the price returns to a chip peak, it is likely to trigger intense buying and selling competition.
• Chip Valley (short bar): A "vacuum zone" with sparse trading. When the price re-enters this area, it often passes through quickly.
• POC (Longest Bar): The core price with the highest trading volume, which is also the most worthy point to observe for intense competition.

Core Pitfall Avoidance: Chip Distribution reflects historical transaction accumulation, not directly equivalent to "how many people haven't sold now."

3. How to Read Chip Distribution?

When looking at chip distribution, remember these three simple steps:

1. Find the current price and POC: Determine whether the current price is above or below the longest bar (POC).
2. Look for upper/lower chip peaks: The nearest chip peak to the current price is the key observation area.
3. Identify chip valleys: Discover weak areas where the bars dip, noting that the price might slide through quickly.

Directly look at the BTC/USDT 15-minute chart on AiCoin.

The row of horizontal bars on the right side is the chip distribution.

① Current Price

Green dashed line: $64,305.70  

Blue horizontal line: $64,437.02 (the POC for this segment, where transactions are most concentrated)  

The current price is below POC.

② Where is the longest bar?

The bar around $64,400 to $64,500 is significantly longer, indicating a dense transaction area. 

When the price approaches this area again, it is worth observing whether there is noticeable buying and selling competition.   (It is "worth observing," not "definitely a resistance level.")

③ Chip Valley

The bar around $64,150 to $64,200 is noticeably shorter.  

Previous transactions passed through here quickly, with little accumulated trading. When entering again in the future, observe whether it will pass through quickly or accumulate again.

4. Why is it Worth Watching?

Opening the chip distribution allows you to directly see how many transactions occurred near these prices in the past.

It is very intuitive when looking for key areas; you don't have to count by yourself or guess by feeling.  

Long bars = concentrated transactions, short bars = sparse transactions, longest position = POC.  

It adds a clear "transaction map."

5. Where Can You See It?

Chip Distribution is currently one of the premium features of AiCoin PRO membership.

Opening it is very simple:

[PC Version]

1. Go to the [Market] page  
2. Click the [Indicator] entry in the upper left corner  
3. Scroll down to find [Chip Distribution], and add it to the candlestick chart. 

Once activated, horizontal bars will immediately appear on the right side of the candlestick chart.  

[APP Version]

On the candlestick page, there is an entry for [Chip] on the far right, click it to open [Chip Distribution].

In the lower right corner, there is also a [Chip Interpretation] feature that can help interpret the chip distribution data for the past 24 hours, 3 days, and 7 days.

Conclusion

[Chip Distribution] can quickly identify concentrated chip areas and accurately grasp entry points.

If you often engage in short-term trading, looking for support and resistance, or want to understand "why prices frequently compete at this position," this indicator is worth adding to your trading toolbox.

If you cannot find the [Chip Distribution] indicator or encounter difficulties, feel free to contact customer service Yingying or KK, who will guide you step by step!

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This article is for trading knowledge dissemination only and does not constitute any investment advice. Please be aware of the risks as cryptocurrency asset prices are highly volatile.

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