Wyckoff Analysis
Wyckoff methodology identifies institutional accumulation and distribution through volume-price analysis. AlgoZilla implements four Wyckoff features that detect smart money activity in real-time.
Four Wyckoff Features
- Absorption: Detects high volume with minimal price movement — institutions accumulating quietly
- Spring: Price briefly breaks below support on low volume, then reverses — classic Wyckoff trap
- Sign of Strength / Sign of Weakness: Confirms trend direction with volume analysis
- Effort vs Result: Compares volume effort to price result — divergence signals exhaustion
Why This Matters for Crypto
Crypto markets are heavily influenced by whale activity. Wyckoff features help our model distinguish between organic price movements and institutional manipulation. Combined with Liquidity features (VPIN, Amihud) and sentiment data, Wyckoff analysis provides an institutional-grade view of market structure. Each coin model is trained individually — BTC Wyckoff patterns differ from SOL patterns.
