Smart money refers to investments made by institutional investors and experienced traders who have advanced tools and insights into market trends. Their influence on the crypto market can bring liquidity and stability, drive price movements, and promote regulatory legitimacy. Focusing on the smart money movements, traders can utilize concepts like order blocks, liquidity zones, and fair value gaps (FVG) to inform their strategies. Order blocks represent significant buy/sell points where prices tend to react strongly. Liquidity zones indicate areas of concentrated buy/sell orders, while FVGs highlight imbalances in asset buy/sell orders, often guiding price movements. Tools like Glassnode, Nansen, CoinGecko, Santiment, and Chainalysis allow traders to track these smart money activities in real-time, helping them make informed trading decisions. By observing trends and patterns from smart money, retail traders can position themselves effectively, akin to navigating the sea by following the course of established ships, thus identifying promising trading opportunities.

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