Market Microstructure — DEX Orderflow Analysis

Overview

Market microstructure on Solana DEXes differs fundamentally from traditional finance. There are no orderbooks on AMMs — every trade is a swap against a liquidity pool. Yet trade flow analysis remains powerful: the sequence, size, and direction of swaps reveal accumulation, distribution, whale activity, and wash trading patterns.

This skill covers:

• Trade classification — identifying buys vs sells from swap direction
• Volume profiles — time-based and size-based breakdowns
• Buyer/seller pressure — ratio metrics, net flow, trade count asymmetry
• Trade size distribution — whale detection, retail vs institutional flow
• Flow momentum signals — acceleration, volume spikes, composite scores
• Token velocity — turnover rate as a sentiment proxy
• Wash trading detection — spotting fake volume and bot patterns

Why Microstructure Matters on DEXes