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Core concepts

Market engine

Price, liquidity, volume and holder distribution — and which of those actually tells you something.

The market engine collects the tradeable reality of a token: what it costs, how deeply it can be sold, how much of it moves, and who holds it.

Liquidity is the number that matters

Market cap is the number people quote and the least informative one available — it is a price multiplied by a supply nobody is selling. Liquidity is what determines whether you can exit at anything near the quoted price.

The ratio between them is the useful reading. A token with a large capitalisation and thin pools is a position you can enter and cannot leave.

Volume against liquidity

Daily volume many times larger than total liquidity means the same shallow pool is being traded through repeatedly. That is a churn signature, and it is worth knowing before reading the volume as demand.

Distribution

Holder counts and top-holder concentration are collected together. A large holder base with most of the supply in ten addresses is a different asset from what the holder count alone suggests.