The concentration of BTC chips is an effective pre warning indicator for observing potential fluctuations that are about to occur. When the concentration of chips within the current spot price range of 5% rises above 13%, it enters the warning zone, and above 15% belongs to the high-risk zone; The more concentrated the chips, the greater the probability and magnitude of the fluctuations caused. For example, in my tweet on September 30th, I reminded that chip concentration had risen to 15%, and soon after, BTC experienced a strong rebound that broke through historical highs. On November 1st, the concentration reached a record high of 17.6% (see citation), after which BTC fell from $110000 to $8.50. (Figure 1) Many friends like to bet on whether it will rise or fall when they see this signal. In fact, the high concentration of chips only serves as a warning of fluctuations and does not represent direction. Therefore, we just need to follow its prompts to go long on volatility. For example, in the wave after November 1st, even if standard ATM Straddle is used, doubling returns is stable and there is no need to bet on direction. The current concentration of BTC chips is at 11%, which is above average and has not yet entered the warning zone of over 13%. Therefore, the probability of causing significant fluctuations at this time is not high, at least from the perspective of chip structure, it does not have the conditions to form a "chain reaction". Next are two macroeconomic events that the market is paying attention to: the release of CPI data at 9:30 pm on the 18th and the announcement of the interest rate decision by the Bank of Japan on the 19th. My personal judgment is that as long as it does not exceed expectations, the impact on the market should be within the range of "slight fluctuations", and not as severe as on August 5 last year (the chip concentration was 15% before August 5, 2024). I will continue updating when the chip concentration exceeds 13%. ---------------------------------------------- This article is sponsored by @ Bitget | Bitget VIP， Lower rates and more generous benefits