KNOWLEDGE BASE · CRYPTO HEATMAP

What is a crypto heatmap and how do you read one?

A crypto heatmap is a visual way to compare many markets at the same time. Instead of opening dozens of individual price charts, you can see in one overview which markets are moving more strongly and where more activity is taking place. The Markets Understood Crypto Heatmap focuses on EUR spot markets from Bitvavo and Kraken and uses colour and tile size to display different types of market information together.

What is a crypto heatmap?

A heatmap converts market data into a visual grid of tiles. Each tile represents an individual market, such as BTC-EUR or ETH-EUR on a specific exchange. This makes it possible to scan many markets quickly without opening every pair separately.

The main strength of a heatmap is comparison. A single percentage move tells you something about one market, while a complete grid helps show whether that move is isolated or part of a broader shift. A heatmap is therefore mainly a tool for market orientation and context.

What do the colours mean?

In the MU Heatmap, colour shows percentage price movement within the selected timeframe. Positive and negative moves appear on different sides of the scale, while smaller changes remain closer to neutral. Colour therefore describes what happened to price during the selected period.

Green does not automatically mean buy and red does not automatically mean sell. A colour is not a trading signal and does not predict what will happen next. It is simply a compact representation of recent price movement.

What does tile size mean?

Tile size represents a different dimension from colour. Within Markets Understood, larger tiles represent more EUR activity over the same timeframe. This makes it possible to see both how a market is moving and how much relative EUR activity is present.

A large tile does not have to be strongly positive or negative. A market may show substantial EUR activity while price changes only slightly. Conversely, a smaller market may show a sharp percentage move. Combining colour and size therefore provides more context than a simple list of gainers and losers.

Why are 5m, 15m, 1h, 4h and 1d different?

A heatmap changes when you switch timeframe. A five-minute view reacts quickly to recent movement. A one-hour or four-hour view includes a broader period, while one day adds still more context. The same market may therefore appear strongly positive on a short timeframe while being neutral or even negative on a longer one.

This is why the selected timeframe always matters. Short timeframes are more sensitive to noise and rapid acceleration, while longer timeframes make it easier to place movement in a broader pattern. See also 15m versus 1h in crypto analysis.

What do Bitvavo, Kraken and Combined mean?

Markets Understood currently follows EUR spot markets from Bitvavo and Kraken in this Heatmap. The exchange filter lets you view one exchange or combine both.

Combined does not mean that the same market from two exchanges is averaged together. BTC-EUR on Bitvavo and BTC-EUR on Kraken remain separate markets. This matters because trading activity, available liquidity and price movement can differ between venues. A move visible across both exchanges provides different context from a move concentrated mainly on one. Read more in Bitvavo vs Kraken for EUR spot trading.

How do you read a crypto heatmap step by step?

Do not begin immediately with one striking tile. First look at the overall picture. Are many markets positive, negative or mostly neutral? Then look for tiles that clearly stand out in colour or size. Check the selected timeframe and exchange next. Only after that does it make sense to investigate a specific market in more detail.

This order helps prevent one strong move from receiving too much attention without broader context. The MU Market Activity hub is designed as a next step when you want to understand more about the wider market picture.

What does a heatmap not tell you?

A heatmap shows what is happening within the available market data, but it does not explain why price is moving. News, large market orders, changing liquidity, wider market sentiment and events outside an exchange can all influence price. A striking tile therefore does not prove manipulation, future direction or a so-called pump.

Market data is also never literally delay-free. Exchange APIs, network traffic, processing and publication all take time. Data freshness therefore matters when interpreting any real-time market tool. Read more about how fresh crypto market data should be.

Why does Markets Understood use EUR spot markets?

EUR spot markets provide direct market information about crypto traded against the euro without mixing futures or leveraged products into the same view. For MU, this provides a clear foundation for European market context.

By comparing multiple EUR spot markets and exchanges, the Heatmap can help show whether activity is broadly visible or concentrated mainly in one market or trading venue. The foundation of this approach is explained in what EUR spot trading is.

From explanation to the live Crypto Heatmap

A heatmap is most useful as a starting point for further analysis. Look at the overall market picture, compare colour and tile size, switch between timeframes and check whether the same movement is visible on Bitvavo and Kraken.

Then open the live Crypto Heatmap to apply these principles yourself. You can also continue with unusual crypto market activity or return to the Markets Understood Knowledge Base.

If a market stands out on the Heatmap and you want to examine momentum, trend and volatility in more detail, read how crypto indicators work and how they can be combined.