Bitcoin Sentiment in Worst State in 12 Months: Santiment

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As a crypto investor with some experience under my belt, I’ve seen my fair share of market fluctuations. The current sentiment around Bitcoin (BTC) on social media platforms is a cause for concern, with data from Santiment indicating the lowest level of positivity in over a year. This shift in narrative, from bullish to bearish, has left many traders feeling uncertain and doubtful.

The mood or feeling towards Bitcoin (BTC) on social media is declining rapidly. According to recent data from crypto analysis platform Santiment, the sentiment surrounding Bitcoin on X, Reddit, 4Chain, BitcoinTalk, and Telegram has reached its lowest point in the last year.

Santiment’s expose on Bitcoin

Bitcoin’s price action this month has featured both bullish and bearish trends. As per Santiment’s analysis, the sentiment surrounding Bitcoin on social media underwent a significant shift this week. The platform reported a remarkably low level of fear, uncertainty, and doubt (FUD) – the poorest in over a year.

Based on the updated information, the weighted sentiment for Bitcoin, as reported by Santiment, stands at a relatively low figure of -0.962775. However, it’s important to note that this negative sentiment does not necessarily indicate a bearish market outlook. In fact, Santiment suggests that a rebound could be imminent. This potential turnaround might take traders by surprise when it reaches its peak.

This week, the sentiment towards Bitcoin among traders on platforms like X, Reddit, Telegram, 4Chan, and BitcoinTalk has been unusually bearish, with many expressing fear, uncertainty, and doubt (FUD). However, history suggests that when the crowd’s fear reaches such high levels, there is a strong possibility of a surprising rebound, which could catch many traders off guard.— Santiment (@santimentfeed) July 9, 2024

The decrease in Bitcoin-related conversations can be attributed to the present situation of Bitcoin spot ETFs. Despite persistent inflows, temporary outflows have a chilling effect on the market mood as a whole.

The price fluctuations have similarly affected the unfavorable outcome. Currently, Bitcoin is priced at $57,490.48 on CoinMarketCap, representing a slight increase of 0.71% over the previous day. Following a significant decrease of over 8%, the coin has started to rebound.

Ethereum vying for spotlight

Another significant factor potentially diverting focus from Bitcoin is the growing anticipation surrounding the approval of a spot Ethereum ETF in the US market. With the application process nearing completion, there’s an increasing likelihood that the Securities and Exchange Commission (SEC) will soon give its go-ahead for trading.

As a researcher studying the cryptocurrency market, I’ve noticed that there has been much anticipation among analysts and traders regarding a specific upcoming event. This could be one reason why the focus on Bitcoin (BTC) has appeared to wane recently.

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2024-07-09 16:29