Distribution

Glossary · Whales & On-Chain

Distribution is the phase where large holders sell positions into strength, unloading gradually to buyers drawn in by good news and rising prices — usually a choppy topping range. Price stalls despite bullish headlines, rallies fade fast, and on-chain data shows old coins and exchange inflows rising while price makes no progress.

"The good news at the top exists so someone can hand you their bags."

The mirror of accumulation: a choppy topping range where each breakout attempt fails faster than the last (the upthrust), volume runs heavier on the down legs, and CVD falls while price holds up — spot sellers unloading into derivative-driven pushes. On-chain confirmation: long-term-holder supply falling and exchange inflows rising while price makes no net progress for weeks.

Two ways to lose money here. Shorting the first upthrust — topping ranges routinely squeeze to one more high before letting go, and early shorts are the fuel. Or the costlier one: reading it as accumulation because 'support keeps holding', and buying the level everyone can see. The tell is behaviour, not the level — rallies sold instantly, good news that can't lift price. Wait for the range low to break, then short the retest, with size that survives being early.

Coins the whale board reads as distribution

Related jargon

Questions

What is Distribution in crypto trading?
Distribution is the phase where large holders sell positions into strength, unloading gradually to buyers drawn in by good news and rising prices — usually a choppy topping range. Price stalls despite bullish headlines, rallies fade fast, and on-chain data shows old coins and exchange inflows rising while price makes no progress.
How would a trader say it?
The good news at the top exists so someone can hand you their bags.

Part of the Crypto Jargon glossary — every term, decoded the way a trader would say it.

Crypto Jargon

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