> For the complete documentation index, see [llms.txt](https://quanthiveai.gitbook.io/docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://quanthiveai.gitbook.io/docs/tradingtools/alpha-traders-flow-signals.md).

# Alpha Traders' Flow Signals

**QuantHive’s Alpha Trader Flow Signals** are simplified, real-time trading indicators derived from two key metrics that track elite, consistently profitable wallets — **TPI (Traders' Profitability Index)** and **Momentum**.

These wallets, known as **Alpha Traders**, represent the top 2% of traders with long-term, verifiable profitability on-chain.

## What Are Flow Signals?

<figure><img src="https://i.ibb.co/b5S4vPWz/qh-port-2.png" alt="" width="563"><figcaption></figcaption></figure>

Flow signals provide an easy-to-understand interpretation of current smart money activity by summarizing complex on-chain data into three categories:

* **WAGMI** – Bullish: High buy-side volume and rising interest from alpha traders
* **FUD** – Bearish: High sell-side activity or declining interest
* **HODL** – Neutral: No strong buy/sell signals or stable interest

These signals help traders quickly assess market sentiment from the top-performing wallets and make timely decisions.

## Why These Signals Matter?

Instead of reacting to retail-driven hype or isolated whale moves, Flow Signals give you insights based on **real trading patterns** from the most consistent performers in Web3. This reduces noise and enhances the accuracy of your trading decisions, whether in **spot** or **perp markets**.

## Potential Use Cases

* **Spot Trading**\
  Enter tokens showing **WAGMI** signals and strong upward momentum. Exit positions when the flow signals shift to **FUD** or when your target profit price is reached.
* **Perp Trading**\
  Short tokens with **FUD** signals and declining momentum. Take profit when the signal flips to **WAGMI** or when a preset profit target is achieved.

These flow signals are designed to guide, not dictate. Use them as a foundation to develop your own strategies, time your entries and exits, or even explore new trading styles. Get creative, stay informed, and let the data work for you.