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What is Top Trader Tracking (and Whale Tiers)?

Dec 15, 20245 min read

What is Top Trader Tracking?

In prediction markets, "whales" refer to traders who handle significant trading volume. This is a volume-based tier, and it does not necessarily mean the wallet is a top performer.

Top trader tracking focuses on the wallets that consistently perform well. We surface whale tiers as a secondary signal, but rank wallets primarily by performance.

Why Does It Matter?

Information Asymmetry

Large traders often have better access to information, more sophisticated analysis tools, or simply more experience. By tracking their moves, retail traders can potentially benefit from this information asymmetry.

Market Signals

When a whale takes a significant position, it can signal:

  • Strong conviction about an outcome
  • Access to information not yet reflected in prices
  • A contrarian view worth considering

Learning Opportunity

Watching how successful traders operate—their timing, position sizing, and market selection—can be educational for developing your own trading strategies.

How to Use Whale Data

Here are some best practices for using top trader data:

  1. Follow the trend, not individual trades - Look for patterns across multiple top traders rather than copying single trades
  2. Consider timing - Early top trader activity may be more informative than late entries
  3. Watch for consensus - When multiple top traders agree, it may signal a higher-conviction opportunity
  4. Do your own research - Use top trader data as one input among many, not as your sole decision-making tool

Conclusion

Top trader tracking is a powerful tool in your prediction market toolkit, but it's not a silver bullet. Use it to complement your own research and analysis, and always trade responsibly.

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