Do Whales Have Diamond Hands?

Part A - Discuss the outcome of the study Part B- Methodology

Part B

4.0 Methodology

4.0.1 Identifying Q1,Q2,Q3

The below is the result of applying Quartile Formula based on each address average swap Volume. The results yields the nth number of row , Quartiles. In order to identify whales, we are considering address that is above the third quartile. The justification is Whales tend to has larger swap volume, hence the highest quartile of average swap volume, should return the list of Whales.

4.0.3 Lists of Whales

Address that has avg osmo swap volume higher than Q3 Value is considered as Whales. It is listed in the below table

4.0.2 Quartile Number Calculations

Part A

1.0 Introduction

This analytics is done to study what assets Whales are turning to during the recent market crash, to determine whether they are Diamond Handed or not. This will compare to the non-whales users swap activities.

1.1 Scope

The scope of this study is to chart the Swap from_assets and to_assets by whales and non-whales during the Market downtrend on May 5th to May 12th

1.1.1 Definition

a) Whales

Whales here is defined as address that pass the Q3 of average swap volume. (Refer 'Methodology' in PART B ). Basically, WHALEs are address that has large average swap volume of OSMO. OSMO is used as benchmark token as it is the native token used in OSMOSIS ecosystem.

b) Diamond Hands

Diamond hands are defined as those address that doesn't get out of their asset position into stablecoins to avoid market fluctuations. Specifically, those address that did not swap from any asset into stablecoins during the 5th May to 12th May market drop

4.1.0 Market Crash

The below chart visualizes BTC chart to track the overall Crypto market condition. Beginning May 5th, BTC downtrends towards 28. 4K On June 9th, it crashes again towards 18.85 K. This dates will be used as the day where crypto market crashes for this study

2.0 Findings

2.1 Top 10 Token Swaps

2.1.1 Top Asset Swaps by non-Whales

The chart below shows Top 5 assets that swapped for stables. It seems non_whales tend to swap their OSMO into stables, either USDC or DAI. Overall, USDC and DAI were the stablecoin of chpoice by non-whales

2.1.2 Top Asset Swaps by Whales

Whales also shows tnedency to dump OSMO for stables, only in this case, some of them hedged into EEUR, Euro-pegged stablecoin. A big portion of them dumped OSMO for USDC, some resorts to DAI and EEUR. USDC were the top stablecoin of choice by Whales, but some of them diversified into DAI and EEUR

2.2 Diamond Hand Score of Whales and non-Whales

Which Group is more diamond-handed? The calculation working can be found on Part B Methodology.

2.2.1 The Stats

The table below shows the number of each address that are diamond handed or not in each group. The calculation can be found in Part B : Methdology

2.2.2 Diamond Hand Score, by Group

Since we have the metrics of diamond hands/ non-diamond hands and whales/non whales, we can now calculate the score of Diamond handed-ness by using formula below. This will give us the representative of the diamond hand population amongst each group

From the calculation, non-whales are more diamond handed than whales by a slight difference. Therefore we can say that non-Whales are more diamond handed than Whales.

3.0 Conclusion

non-Whales are more diamond handed than Whales during May 5th to May 12t drop down but the difference is neglieble. However this does not account whether non-whales have any asset left to sell.

4.2.0 Calculations

This section shows the working to calculate the number of whales and non-whales and those are diamond hand and non-diamond hand.

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