Area plot is off-exchange transaction ratio, i.e. proportion of transactions recorded that did not take place via an exchange such as buying cup of coffee, peer-to-peer transfer etc.
Red line is on-exchange transaction ratio, i.e. proportion of transactions that were made on exchanges in other words trading!
Blue line is BTC price in US dollars.
The ratios should be a number between 0 and 1. Sometimes red line > 1 and sometimes area collapse < 0. These points represent poles in the data. Just interpret as almost all tx on or off exchange depending on ratio.
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Today saw the highest on-exchange transaction (tx) ratio since Feb 2012. The value hit 2 with off-exchange tx dropping ot -1. This means that almost all tx sent today were exchange based trading, i.e. almost 100%, and off-exchange transactions accounted for near 0%.
This is the capitulation in progress.
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Interesting: less than 10% of transactions are currently trade-related. The remaining 90% on-chain. It looks like a lot of bitcoins are being moved from wallets.