Bullish Signal for Bitcoin: Santiment Analysis
Bitcoin (BTC) is showing a positive sign based on historical data, according to market intelligence platform Santiment.
Santiment highlights that despite BTC’s significant rise of nearly 150% since October, recent momentum appears to be fading.
👍 Is #crypto still in a #bullmarket after #Bitcoin's +144% price return since October 15th? Well, according to the crowd, the belief has fizzled out significantly. Historically, less long-term optimism increases the probability of a continued market rise. https://t.co/J4o0RdgEuT pic.twitter.com/4C7ooFl1r7
— Santiment (@santimentfeed) April 2, 2024
However, historical trends suggest that when long-term optimism wanes, it often precedes further market growth.
The shift in sentiment towards BTC has led to bearish expectations among traders, particularly following a recent market correction.
😱 The crowd's sentiment toward #Bitcoin and #crypto markets in general has wavered ever since the big correction 3 weeks ago. Even with the $BTC halving now just 2 weeks away, trader sentiment reflects #FUD and #bearish expectations.
With prices bouncing back to $69K… pic.twitter.com/DYs5RYNR95
— Santiment (@santimentfeed) April 5, 2024
Despite the approaching Bitcoin halving in two weeks, fear, uncertainty, and doubt (FUD) dominate the current sentiment.
READ MORE: Bitcoin Analyst Forecasts Major Uptrend with Key Indicator
Interestingly, Santiment notes that BTC’s recent dip, attributed by many to the government’s sale of seized Silk Road Bitcoin, has historically triggered market spikes.
📈 #Bitcoin has bounced all the way back above $69K after dropping below $65K just two days ago. The culprit of the fall, according to most of the #crypto community, is attributed to the U.S. government authorities' admission to selling nearly 10,000 $BTC from the #silkroad… pic.twitter.com/PiCrZo2YaI
— Santiment (@santimentfeed) April 4, 2024
This suggests that when concerns arise about the seized BTC stash, market sentiment tends to be a reliable contrarian indicator.
In light of these observations, Santiment suggests that Bitcoin bulls may benefit from the prevailing negative sentiment, as markets often move opposite to crowd expectations.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
