ETH and its on chain DEFI project's on chain chip concentration chart Including ETH SSV MKR ARB AAVE CRV UNI ENA EIGEN COMP The Herfindahl index is used to measure the share of network addresses in the current supply, known as chip concentration. A high index indicates that a small number of large holders are dominating the market, while a low index indicates a more even distribution of chips. When TOKEN was first issued, early holders often concentrated a large amount of supply and had high control over the market, resulting in a higher Herfindahl index. As these early holders sold off, the index began to decline, reflecting a gradual shift in token distribution from concentration to dispersion. Speaking of people, a higher concentration of chips does not necessarily mean a significant pullback, but it is beneficial for pullback and the volatility will be amplified. The dispersion of chip concentration is definitely not conducive to a significant pullback. At present, some projects are still consolidating their chips, and there are also projects with low chip concentration, fluctuating at the bottom and showing no signs of increasing. Taking ETH as an example, such as the Herfindahl index, it will take time for the index to return to its historical high. Currently, the ETH ETF pledge has been approved. Short term ETH still depends on BTC's performance. If BTC continues to rise and fluctuate at a high level, ETH may still have a chance to rise. If BTC goes down and ETH cannot hold on, then its ecological token may also find it difficult to perform. In the medium to long term, for example, when the next major uptrend comes, attention can be paid to the concentration of chips in the project. Guilin Brother @ Guilin_Chen_ and Prophecy Brother @ ShiGuangYuYanJi said more updates, and the indicator chart is as follows