Bitcoin Hype Remains Low Even After $63,000 Surge: Green Sign For Rally?

Data shows the social media users have yet to show excessive hype around the latest Bitcoin rally, a sign that could be positive for its sustainability. Bitcoin Sentiment Ratio Has Spiked, But Value Still Not Too High According to data from the analytics firm Santiment, Bitcoin Fear Of Missing Out (FOMO) has remained low through the latest rally. The indicator of relevance here is the “Positive Sentiment vs. Negative Sentiment Ratio,” which, as its name suggests, measures the ratio between the positive and negative comments around BTC being made on the major social media platforms. Related Reading: These Altcoins Are Seeing High Whale Interest After Fed Rate Cut To separate the posts/threads/messages on these platforms between positive and negative, Santiment’s indicator uses a machine-learning model. When the value of this metric is greater than 1, it means the social media users are making more posts expressing a positive sentiment than a negative one. On the other hand, it being under 1 suggests bearish messages are the norm on these platforms. Now, here is a chart that shows the trend in the Bitcoin Positive Sentiment vs. Negative Sentiment Ratio over the last few months: As the above graph shows, this Bitcoin indicator has observed an uplift alongside the latest recovery run in the cryptocurrency’s price. This rally has come as the US Federal Reserve has announced an interest rate cut. The indicator is currently decently above the neutral mark, meaning that positive posts notably outweigh the negative ones. Historically, the asset has tended to move in a direction opposite to what the crowd is expecting, with the probability of the contrary move going up the stronger this expectation becomes. A very bullish market can be a warning sign for the BTC price. Despite the recent surge in sentiment, FOMO is not yet at a level where it would be a problem. The chart shows that the previous spikes in the indicator that occurred around the tops for Bitcoin were of a significantly large scale. The last few months have also seen the indicator generally maintain a positive level, so the metric’s current value isn’t even that out of place when compared to the norm. “Markets can roll until we see a bullish sentiment spike similar to what we saw during the April 19th and May 21st tops,” notes the analytics firm. If FOMO does end up spiking to high levels in the coming days, BTC could encounter another top. Related Reading: Crypto Shorts Suffer $147 Million Squeeze As Bitcoin Returns Above $63,000 When that happens, another foray into the negative sentiment zone could be to wait since, as highlighted in the graph, the last two such instances proved to be profitable buying points into Bitcoin. BTC Price Bitcoin has enjoyed a surge of almost 6% over the past week, bringing its price back to the $63,200 mark. Featured image from Dall-E, Santiment.net, chart from TradingView.com

View Details

Bitcoin Sentiment Spikes After Mild Price Jump: Crowd Too Excited Too Quickly?

Data shows that the positive sentiment around Bitcoin has spiked on social media after BTC’s return above $58,000, implying investors may feel FOMO. Bitcoin Positive Vs. Negative Sentiment Ratio Has Spiked Recently According to data from the analytics firm Santiment, the crowd has recently shown a sudden burst of optimism around Bitcoin. The indicator of [...]

The post Bitcoin Sentiment Spikes After Mild Price Jump: Crowd Too Excited Too Quickly? appeared first on Crypto Breaking News.

View Details

XRP, Bitcoin Sentiment Remains Very Positive: Bad Sign For Price?

Data shows the sentiment around XRP and Bitcoin is quite bullish currently, something that can actually be to the detriment of their prices. XRP & Bitcoin Among Coins Observing Positive Sentiment Right Now According to data from the analytics firm Santiment, the top cap cryptocurrencies are mainly observing the investors hold a bullish outlook. The indicator of interest here is the “Weighted Sentiment,” which basically tells us about the net sentiment around an asset that’s currently present on social media platforms. Related Reading: Bitcoin Makes Third Retest Of Historical Support, Analyst Sounds Alarm The “weighted” in its name comes from the fact that it weighs the sentiment present in the market (the Sentiment Balance) against the amount of discussion that’s happening on social media (the Social Volume). Because of this feature, this indicator’s value only registers a spike when not only is the crowd tending heavily towards one side as determined by Santiment’s machine-learning model, but also a large amount of posts/threads/messages exist on social media expressing such sentiment. The advantage of this adjustment is that the indicator is better able to portray what the actual situation in the market is like, as it doesn’t go by the opinion of only a few users (as would be the case in periods where traffic is low). Naturally, positive spikes in the Weighted Sentiment imply investors are bullish right now, while negative ones imply a bearish market. Values around zero suggest either there aren’t enough discussions happening on social media or the users as a whole are simply neutral. Now, here is a chart that shows the trend in this indicator for the five top assets in the sector, Bitcoin (BTC), Ethereum (ETH), BNB (BNB), XRP (XRP), and Solana (SOL), over the past few months: As displayed in the above graph, Bitcoin, XRP, Solana, and Ethereum, all have seen the Weighted Sentiment spike into positive territory recently, and these levels have so far persisted into the latest market downturn. This would imply that social media users hold a bullish sentiment around these coins right now. Bitcoin and XRP particularly stand out in terms of this, as the indicator for them is at the highest levels in 17 months and 14 months, respectively. Related Reading: Ethereum Seeing High Exchange Outflows, But Watch Out For This Bearish Signal BNB is the only cryptocurrency out of these that has the Weighted Sentiment in the negative territory, although the investors currently only hold a slightly fearful sentiment. This negative sentiment may actually play into the favor of BNB, however, as markets have historically been more probable to move in the opposite direction to what the crowd is expecting. Naturally, this means that the highly positive sentiment around Bitcoin and XRP could be bearish for their prices instead. XRP Price XRP has extended its drawdown during the past 24 hours with a drop of 6%, which has taken its price to $0.57. Featured image from Dall-E, Santiment.net, chart from TradingView.com

View Details

Bitcoin Investors Again Show Extreme Fear As BTC Slips To $59,000

Data shows the Bitcoin market sentiment has taken to extreme fear again as the asset’s price has seen a retrace to the $59,000 mark. Bitcoin Fear & Greed Index Suggests Market Now Extremely Fearful The “Fear & Greed Index” is an indicator created by Alternative that tells us about the average sentiment that’s currently present in the Bitcoin and wider cryptocurrency markets. The index uses the following five factors to determine the sentiment: volatility, trading volume, social media sentiment, market cap dominance, and Google Trends. It then represents this estimation using a scale that runs from 0-100 Related Reading: Bitcoin Makes Sharp Recovery, But Watch Out For Resistance At $64,000 All values of the indicator beyond the 53 mark imply that investors are showing greed, while those below 47 suggest the presence of fear in the market. The region between these two cutoffs naturally corresponds to a neutral mentality. Besides these three territories, there are also two special sentiments called the extreme fear and the extreme greed. The former of these occurs at 25 and below, while the latter at 75 and above. Now, here is what the latest value of the Bitcoin Fear & Greed Index looks like: As is visible above, the indicator has a value of 25 at the moment, meaning that the market is just inside the extreme fear zone. This is a pretty significant change from how the metric was just yesterday. The below chart shows the trend in the Bitcoin Fear & Greed Index over the past month. From the graph, it’s apparent that the Fear & Greed Index had been at a high level near the end of July, but during the bearish momentum that had followed in the BTC price, the metric’s value had also gone through a notable drop. On the 29th, the index was at a value of 74, meaning it was right on the edge of extreme greed, but by the 6th of this month, it had gone into the extreme fear zone with a value of 17. The asset’s recent recovery did lead to an improvement to the sentiment, with the index traveling back up to 48. It would appear, though, that this growth couldn’t last, as the sentiment has again declined into extreme fear, as the BTC price has seen a retrace. Related Reading: Bitcoin NVT Golden Cross Gives Bottom Signal: What Happened Last 2 Times The fact that the sentiment has worsened, however, may not actually be a bad sign for the cryptocurrency. Historically, Bitcoin has tended to move against the expectations of the majority, and the extreme regions are where this expectation is perhaps the strongest. As such, tops and bottoms have tended to form whenever the market has been inside these zones. With the Fear & Greed Index now back inside extreme fear, It’s possible that a bottom could be likely to take place. It now remains to be seen if the asset’s decline ends with this drop, or if there is more to come. BTC Price Bitcoin appears to already be showing signs of a rebound as its price has climbed back up to $59,700 from its low of under $58,000 earlier in the day. Featured image from Dall-E, Alternative.me, chart from TradingView.com

View Details

Bitcoin Extreme Greed Is Almost Here: Price Bottom Now Close?

Data shows the Bitcoin sentiment is close to entering into the extreme greed zone. Here’s what this could mean for the cryptocurrency’s price. Bitcoin Fear & Greed Index Has Continued To Decline Recently The “Fear & Greed Index” is an indicator developed by Alternative that tells us about the average sentiment that traders in the Bitcoin and wider cryptocurrency market currently share. The index uses five factors to determine this sentiment: volatility, trading volume, social media, market cap dominance, and Google Trends. The metric uses a numeric scale that runs from zero to hundred for representing the mentality. Related Reading: Social Media Screams Sell As Bitcoin Crashes To $54,000: Buy Signal? All values of the indicator above the 53 mark suggest the presence of greed among the investors, while those below 47 imply the dominance of fear. The region in between these two thresholds correlates to a neutral sentiment. Now, here is what the Bitcoin Fear & Greed Index is looking like right now: As is visible above, Bitcoin Fear & Greed currently has a value of 28, meaning that the average investor is showing fear. The degree of fearfulness must also be quite notable, as this current value is pretty deep into the territory. In fact, the latest level of the indicator is quite close to a special region called the “extreme fear.” Investors display extreme fear when the index goes under 25. There is also a similar zone for the greed side as well, which is known as “extreme greed” and occurs above 75. During the first half of last month, the metric had been in or close to the latter region, but the recent downturn in the market has sharply degraded the sentiment to the other end of the spectrum. Historically, Bitcoin and other cryptocurrencies have tended to show moves opposite to what the majority are expecting. The stronger the crowd’s expectation gets, the higher the probability of such a contrary move becomes. Related Reading: Is Bitcoin Undervalued Now? Industry Expert Decodes The Market State The extreme sentiments are where the traders are leaning towards one direction too much. As such, major tops and bottoms in the asset have usually formed when the index has been in these zones. Because of this fact, some traders prefer to buy when investors are showing extreme fear and sell during extreme greed. This trading philosophy is popularly called “contrarian investing.” Warren Buffet’s famous quote sums up the idea, “be fearful when others are greedy, and greedy when others are fearful.” As the Bitcoin Fear & Greed index is approaching the extreme fear territory, it’s possible that the cryptocurrency could once again show profitable entry points soon, if the past is anything to go by. BTC Price Bitcoin has so far been unable to make too much recovery from its recent crash, as its price is still trading around $56,700. Featured image from Dall-E, Alternative.me, chart from TradingView.com

View Details

Bitcoin Traders Sink Into Fear As Price Crashes Below $58,000

Data shows that Bitcoin traders’ sentiment has declined into ‘fear’ after the price crash the cryptocurrency has seen during the past 24 hours. Bitcoin Fear & Greed Index Is Now Suggesting A Fearful Market The “Fear & Greed Index” is an indicator created by Alternative that tells us about the average sentiment currently held by [...]

The post Bitcoin Traders Sink Into Fear As Price Crashes Below $58,000 appeared first on Crypto Breaking News.

View Details

Bitcoin Investors Beware: Extreme Greed Has Returned In Crypto

Data shows that cryptocurrency investors’ sentiment has surged to extreme greed recently, a sign that may not be ideal for Bitcoin. Bitcoin Fear & Greed Index Is In The Extreme Greed Territory Right Now The “Fear & Greed Index” is an indicator created by Alternative that keeps track of the average sentiment present among the traders in the Bitcoin and wider cryptocurrency market. The index represents this sentiment as a number between zero and 100. To calculate the score, the metric takes into account five factors: volatility, trading volume, social media sentiment, market cap dominance, and Google Trends. Related Reading: Shiba Inu, Cardano Seeing Explosive Whale Activity, Santiment Reveals When the Fear & Greed Index has a value greater than 54, the investors are greedy. On the other hand, values under 46 imply that the market is fearful currently. The region between these two cutoffs signifies the territory of a neutral mentality. In addition to these three core sentiments, the index has two special zones: “extreme greed” and “extreme fear.” The former occurs when the metric surpasses 75, while the latter occurs at levels under 25. Now, here is what the sentiment in the Bitcoin market looks like right now based on the Fear & Greed Index: As is visible above, the Bitcoin Fear & Greed Index has a value of 77 at the moment, which suggests that investors as a whole feel extreme greed. The current value means, however, that the market is only just inside this territory. Earlier, the indicator had a lower value, but the latest price surge beyond the $71,000 level has meant that investors have openly jumped on the bull bandwagon. Below is a chart showing how the sector’s sentiment has changed over the past year. The graph shows that the latest values of the Fear & Greed Index are the highest that the cryptocurrency has witnessed since the first half of April. Between then and now, the only other time the indicator stepped inside the extreme greed zone was during a stretch in May. During this phase, 76 was the highest the metric could go, which is right at the region’s boundary. Historically, the price of Bitcoin has tended to go against the majority’s expectations, and the stronger this expectation has become, the more likely it is that such a contrary move will occur. Related Reading: Bitcoin Surges Past $71,000, But TD Sequential Says Sell Since the extreme sentiment zones are where the market turns the most lopsided, reversals are probable. Naturally, extreme fear is where bottoms happen, while extreme greed can lead to tops. As such, the latest breach into the extreme greed territory could perhaps be bad news for the recovery rally. It should be noted, though, that the current level of the indicator may still not be too high compared to past bull run levels. For example, the rally to the new all-time high price in March saw the indicator peak at 90. BTC Price So far in its recovery run, Bitcoin has risen towards the $71,500 level. Featured image from Dall-E, Alternative.me, chart from TradingView.com

View Details

Bitcoin Greed No More: Sentiment Back At Neutral After $57,000 Plunge

Data shows that Bitcoin sentiment has cooled off to neutral from greed following the asset’s latest plunge to the $57,000 level. Bitcoin Fear & Greed Index Has Returned To Neutral Levels The “Fear & Greed Index” is an indicator created by Alternative that shows the average sentiment among investors in the Bitcoin and wider cryptocurrency market. This index estimates sentiment by considering five factors: volatility, trading volume, social media data, market cap dominance, and Google Trends. Related Reading: Bitcoin To $92,190: Crypto Analyst Reveals Path To ATH Target The metric uses a scale that runs from zero to 100 to represent this average sentiment. All values under 46 suggest that investors are fearful, while those above 54 imply a greedy market. The zone between these two cutoffs naturally corresponds to the territory of neutral mentality. Now, here is what the Bitcoin sentiment looks like right now, according to the Fear & Greed Index: The value of the metric appears to be 54 at the moment | Source: Alternative As displayed above, the Bitcoin Fear & Greed Index is at a value of 54, implying that investors share a neutral sentiment currently. However, the neutrality is only just, as the metric is right at the boundary of the greed region. This is a significant departure from yesterday’s sentiment: 67. The chart below shows how the indicator’s value has changed recently. The trend in the Fear & Greed Index over the past year | Source: Alternative As the graph shows, the Bitcoin Fear & Greed Index has been declining recently. For most of February and March, as well as the first half of April, the indicator was in or near a special zone called extreme greed. The market assumes this sentiment at values above 75. As the asset price struggled recently, the mentality cooled off from this extreme zone and entered the normal greed region. With the latest crash in BTC, the index has seen a sharp plunge, now exiting out of greed altogether. Historically, cryptocurrency has tended to move against the majority’s expectations. The stronger this expectation, the higher the probability of such a contrary move. This expectation is considered the strongest in extreme sentiment zones, as well as extreme fear and greed. As such, major bottoms and tops have often occurred in these territories. Related Reading: Bitcoin Dominance: Traders Preferring The OG To Dogecoin & Other Altcoins The all-time high (ATH) price last month, which continues to be the top of the rally so far, also occurred alongside extreme values of the Bitcoin Fear & Greed Index. With the sentiment now cooled to neutral, some investors may be watching for a fall into fear. This is natural because a rebound would become more probable the worse the sentiment gets now. BTC Price During Bitcoin’s latest plunge, its price briefly slipped below $57,000 before surging back to $57,300. Looks like the price of the asset has registered a sharp drop over the past two days | Source: BTCUSD on TradingView Featured image from Kanchanara on Unsplash.com, Alternative.me, chart from TradingView.com

View Details

Bitcoin Sentiment Returns To Extreme Greed As BTC Breaks $71,000

Data shows the Bitcoin market sentiment has returned to the extreme greed territory as BTC has registered its rally beyond the $71,000 level. Bitcoin Fear & Greed Index Now Points To “Extreme Greed” The “Fear & Greed Index” is an indicator made by Alternative that tells us about the general sentiment among the investors in the Bitcoin and wider cryptocurrency market. This index represents the sentiment as a score between zero and hundred. To calculate this value, the indicator takes into account the data of these factors: volatility, trading volume, social media sentiment, market cap dominance, and Google Trends. Related Reading: Bitcoin Top In Yet? What The Legendary MVRV Ratio Says When the indicator has a value of 46 or less, it means that the average investor holds a sentiment of fear right now. On the other hand, a value of 54 or more implies the market shares a majority mentality of greed. Naturally, the region in-between these two (47 to 53) corresponds to the neutral sentiment. Now, here is what the latest value of the Bitcoin Fear & Greed Index looks like: The index appears to have a value of 81 at the moment | Source: Alternative As is visible above, the Bitcoin Fear & Greed Index is at 81 right now, meaning that it’s deep into the greed region. In fact, this value is so deep that it’s inside a territory known as “extreme greed.” Extreme greed occurs when the index hits values higher than 75. Fear also has its own extreme region; this one occupying values under 25. Historically, these two sentiments have proven to be particularly significant for the market. BTC and other assets in the sector have often tended to move in the opposite direction from what the majority expect. In the territory of the extreme sentiments, this expectation is naturally the strongest, and hence, the probability of a contrary move taking place is also the highest. Because of this reason, major tops and bottoms in Bitcoin’s price have typically taken shape when the cryptocurrency has been inside the respective extreme zones. Earlier in the month, the Fear & Greed Index had assumed especially high extreme greed levels, as the asset’s rally towards new all-time highs (ATHs) had occurred. Two of the major tops in this period, including the current ATH, coincided with peaks in the indicator, implying that the overheated sentiment may have once again played a role. Looks like the value of the metric has turned around in the past day | Source: Alternative With the recent drawdown in the asset, though, the sentiment also cooled off and exited out of the extreme greed territory, as is visible in the above chart. In bullish periods, the sentiment retreading back to the normal greed region can be a positive sign for fresh upward moves to start. And indeed, this has followed for the cryptocurrency this time as well, as its price has made notable recovery over the past couple of days. With the coin making a return back towards $71,000, the sentiment has also heated up again, hence why the index’s latest value is pointing at extreme greed. Related Reading: Bitcoin Retests Resistance: Heres The Level A Break Could Lead To The aforementioned tops from earlier in the month occurred at Fear & Greed Index values of 90 and 88, respectively, suggesting that the current extreme greed value of 81 may not be too high for another peak to be probable. BTC Price Bitcoin had broken above the $71,000 level earlier in the day, but the digital asset has since registered a bit of a pullback towards $70,700. The price of the coin seems to have sharply risen over the past two days | Source: BTCUSD on TradingView Featured image from Shutterstock.com, Alternative.me, chart from TradingView.com

View Details

Bitcoin Sentiment Cools Off, Price Rebound Soon?

The Bitcoin Fear & Greed Index shows that the sentiment around the asset has cooled off a bit recently, something that could pave the way for a rebound. Bitcoin Fear & Greed Index Has Gone Through Some Decline Recently The “Fear & Greed Index” is an indicator created by Alternative that tells us about the average sentiment present among the investors in the Bitcoin and wider cryptocurrency market To determine the trader mentality, the index takes into consideration for these five factors: volatility, trading volume, social media sentiment, market cap dominance, and Google Trends. Related Reading: Bitcoin FOMO: Over 533,330 Addresses Bought Above $70,180 The metric uses a numeric scale that runs from zero to hundred for representing this sentiment. A score of 46 or less implies the presence of fear among the investors, while that of 54 and above suggests greed in the market. The territory between these two (47 to 53) naturally corresponds to the neutral mentality. Besides these three sentiments, there are also two extreme sentiments called “extreme greed” and “extreme fear.” The extreme greed occurs at values above 75, while the extreme fear takes place below 25. Historically, these two sentiments have been quite relevant for BTC’s trajectory. Tops have generally tended to form when the investors have held the former sentiment, while bottoms have been probable to happen when the market has been in the latter region. At present, the traders are holding a mentality of extreme greed, as the latest data of the Bitcoin Fear & Greed Index shows. Looks like the value of the metric is 77 at the moment | Source: Alternative As is visible, the indicator’s value is 77 right now, meaning that while it’s indeed inside extreme greed, it’s only so just. This is a fresh change from how it has been recently, as the chart below displays. The value of the indicator appears to have been going down recently | Source: Alternative From the graph, it’s visible that the Bitcoin Fear & Greed Index has mostly stayed deep inside the extreme greed region recently. On the 14th of this month, the indicator hit the 88 mark, and alongside this high, the BTC price registered its current all-time high of about $73,800. Since this peak, though, the asset has plunged, and it appears that alongside it, so has the sentiment among the traders. As mentioned earlier, tops have been more likely to occur when the market has shared a mentality of extreme greed and this probability has generally only gone up the more extreme levels the metric has hit. This could perhaps explain why the recent top occurred when it did. Another top this month, the one that took place on the 5th, also coincided with high values in the Fear & Greed Index (a peak of 90 this time). Related Reading: Bitcoin To $53,200? Why History Says Its Possible Shortly after this earlier peak and the plummet in the cryptocurrency that had followed, the asset found its bottom as the metric briefly exited the extreme greed region. As the Bitcoin Fear & Greed Index is once again looking to dip outside this territory, it’s possible that a bottom may be near for the price this time as well. It now remains to be seen if the sentiment would cool down enough in the coming days so as to leave the extreme region behind, at least temporarily. BTC Price Bitcoin had plunged towards $64,500 during the weekend, but it seems the coin has made some recovery in the past day as it’s now back at $68,000. The price of the coin seems to have gone through some volatility recently | Source: BTCUSD on TradingView Featured image from Yiit Ali Atasoy on Unsplash.com, Alternative.me, chart from TradingView.com

View Details

Bitcoin At Decision Point As Investors Hold Neutral Sentiment

Bitcoin may be at a decision point right now as investor sentiment is exactly neutral. Which way will the market tip in the coming days? Bitcoin Fear & Greed Index Suggests Market Is Neutral A few days back, Bitcoin had observed a sharp plunge that had taken the cryptocurrency’s value towards the $29,000 level. In the days that followed, the asset had only consolidated around these relatively low levels, but during the last 24 hours, things appear to have changed a bit. The impetus for this latest volatility appears to have been the US Federal Reserve (Fed) hiking interest rates by an expected 25 bps. Shortly after the FOMC meeting had announced this increase, Bitcoin started to surge, giving investors hope that the coin may be traveling back toward the $30,000 level. This new rise, however, seems to have already run out of steam, as BTC has fallen back to lower levels. At the time of writing, Bitcoin is trading around $29,400, down 2% in the past week. BTC's recovery hasn't been much yet | Source: BTCUSD on TradingView While Bitcoin has retraced from its peak during the past day, the cryptocurrency is still up a net amount in this period, meaning that the asset has managed to hold onto some recovery nonetheless. Related Reading: This AMD Ryzen Bug Can Compromise Your Crypto Wallet Keys The fact remains, though, that the coin has been unable to keep up its upward trend, a sign that the market is still perhaps indecisive about its direction. This is reflected in the general investment sentiment in the space, as the “Fear & Greed Index” shows. Looks like the needle is pointing directly in the middle currently | Source: Alternative The Fear & Greed index makes use of various market-related metrics (like volatility, dominance, and volume) to judge what the most likely sentiment of the average participant in the sector is currently. This index has a value of 51 right now, which means that the Bitcoin investor sentiment is almost exactly in the balance. This lack of direction in the market isn’t a new development; the investors have been leaning towards neutrality for a week or so now. The trend in the Fear & Greed Index over the past year | Source: Alternative The current neutral sentiment must not be confused with a lack of interest in Bitcoin, however, as data from the on-chain analytics firm Santiment shows that the share of social media discussions related to the 100 largest assets in the cryptocurrency sector occupied by BTC alone (the “social dominance“) is now at a two-week high. BTC-related talks make up for 33% of all discussions related to the top 100 coins | Source: Santiment The traders look to have an active interest in Bitcoin at the moment, but their collective opinion isn’t favoring any one side. In situations like these, it’s generally hard to say which way the cryptocurrency might go in next. Related Reading: Bitcoin Exchange Supply Only Slips Further Despite Price Decline If this indecisiveness in the market stays in the coming days, though, it’s likely that BTC’s stagnation will continue further, as moves in either direction (if any) may not be able to go on for long. Featured image from iStock.com, charts from TradingView.com, Alternative.me, Santiment.net

View Details

Bitcoin Holders Expect Retrace, Will BTC Move Against Crowd Once Again?

Data shows bearish sentiment has spiked among Bitcoin holders, something that could actually work in the favor of the asset’s price. Social Media Users Have Turned Bearish On Bitcoin As explained by the analytics firm Santiment, traders have come into the new week expecting the price of the cryptocurrency to retrace towards the $27,000 to $29,000 range. The relevant indicator here is the “social volume,” which measures the total number of social media text documents that are making mentions of a specific term or topic. Related Reading: Bitcoin Long-Term Holder Supply Stagnates At ATH, What Does This Mean? The text documents here refer to posts/threads sourced from various popular social media platforms like Reddit, Telegram, and Twitter. Something to keep in mind is that the metric only measures the unique number of such documents, meaning that regardless of whether a post mentions the term one time or five times, the contribution towards the social volume will still remain one unit. This indicator helps us gauge the amount of discussion that a topic is receiving across social media right now. It can also be used to measure the market sentiment if some specific terms are applied. To separate the Bitcoin discussions related to positive and negative sentiments, Santiment has taken the total social volume related to the cryptocurrency market and has then filtered it using terms like buy, bottom, and bullish for the former, and sell, top, and bearish for the latter. Here is a chart that shows the trend in the social volume of these terms over the past week or so: The value of the red sentiment seems to have been quite high in recent days | Source: Santiment on Twitter As displayed in the above graph, the social volume related to negative sentiment has spiked recently. The positive sentiment, on the other hand, has remained at low values. This would suggest that the majority of the Bitcoin traders on social media are bearish on the asset and are expecting it to register a drawdown in the near future. Historically, BTC has tended to show price moves in the direction that the average investor isn’t expecting. The more heavily the crowd leans toward any particular side, the more the probability of such a reverse price move taking place becomes. From the chart, it’s visible that the bearish sentiment has seen multiple spikes during the last week as the latest rally in the cryptocurrency’s price above the $30,000 mark has occurred. Interestingly, one of these surges in the metric happened right before this rally started. The local top so far, however, also coincided with such a spike, but it’s also true that the positive sentiment was also elevated during it. Related Reading: XRP Traders Show Capitulation, Why This Could Be Bullish As the bullish calls are silent right now while the investors are engaging in bearish talks, it’s possible that Bitcoin could show a rise soon and go against what the majority sentiment has been. BTC Price At the time of writing, Bitcoin is trading around $30,700, up 15% in the last week. BTC has been mostly moving sideways recently | Source: BTCUSD on TradingView Featured image from iStock.com, charts from TradingView.com, Santiment.net

View Details

Santiment Explains How Bitcoin Investor Mentality Influenced Recent Price Action

Santiment has broken down how the recent action in the Bitcoin price may have been affected by the prevailing sentiment in the market. Trends In Bitcoin Social Volume May Have Influenced The Price Recently As the on-chain analytics firm Santiment explained, BTC generally moves in the direction the crowd isn’t expecting. The relevant indicator is [...]

The post Santiment Explains How Bitcoin Investor Mentality Influenced Recent Price Action appeared first on Crypto Breaking News.

View Details

Bitcoin Investors Become Greedy For First Time Since May

Data shows the Bitcoin investor sentiment has turned to greed for the first time since May as the asset’s price has shot up towards the $29,000 level. Bitcoin Fear & Greed Index Is Pointing At “Greed” Now The “Fear & Greed Index” is an indicator that tells us about the general sentiment among the investors in the Bitcoin and wider cryptocurrency market. The metric uses a numeric scale that runs from 0-100 for representing this sentiment. All values of the index above the 54 mark imply that the investors are greedy right now, while those below 46 suggest the presence of fear in the market. The in-between region (values 47-53) signifies a neutral mentality. Besides these core sentiments, there are also two special ones, called “extreme fear” and the “extreme greed.” The former occurs at values of the indicator below 25, while the latter takes place at values above 75. Historically, these two extreme sentiments have been quite significant for the market as bottoms and tops have tended to take place during periods of extreme fear and extreme greed, respectively. Now, here is what the Bitcoin Fear & Greed Index looks like right now, according to data from Alternative: The market seems to be greedy at the moment | Source: Alternative As you can see above, the Bitcoin Fear & Greed Index has a value of 59 currently. This suggests that the majority of the investors hold a sentiment of greed right now. Related Reading: Bitcoin Whales Continue To Accumulate As BTC Makes Recovery Push This is a fresh change, however, as the indicator had lesser values during the last few weeks. The below chart shows how the metric’s value has changed over the past year. Looks like the indicator has observed a spike in recent days | Source: Alternative From the graph, it’s visible that the Bitcoin fear and greed index had seen a plunge during early May and had fallen down to neutral territory. In the weeks that followed, the metric had only managed to break into the greed territory just once (16 May) and had instead gone down into the fear zone on a couple of occasions. This worsening of the market sentiment had naturally come alongside the price of the asset registering a decline, as investors weren’t quite sure if bullish winds would return to the sector. Related Reading: Bitcoin Miners Deposit To Exchanges, What Does This Mean? In the past day, however, the investor mentality has notably improved, as only yesterday the index had a value of 49, implying that the investors had been neutral. This strong uplift in the sentiment towards greed has occurred as Bitcoin has observed a strong surge, which has taken the price near the $29,000 level. The improvement in the mentality can be a positive sign for the rally, as it implies that the general investor is supportive of the current price increase. If the indicator continues to rise in the coming days and enters into the extreme greed territory, however, it might fire back for the asset. As mentioned before, high levels of greed have generally led to top formations for the asset. BTC Price At the time of writing, Bitcoin is trading around $28,900, up 11% in the last week. BTC has seen a strong surge in the past day | Source: BTCUSD on TradingView Featured image from André François McKenzie on Unsplash.com, charts from TradingView.com, Alternative.com

View Details

Bitcoin Trader Sentiment Returns To Greed As BTC Jumps Past $25,000

Data shows the Bitcoin market sentiment has turned to greed again as the cryptocurrency price has sharply risen above the $25,000 level. Bitcoin Fear And Greed Index Is Pointing At Greed Once Again The “fear and greed index” is an indicator created by Alternative that tells us about the general sentiment among traders in the [...]

The post Bitcoin Trader Sentiment Returns To Greed As BTC Jumps Past $25,000 appeared first on Crypto Breaking News.

View Details

Bitcoin Investors Turn Greedy For First Time Since March 2022

Data shows investors in the Bitcoin market have turned greedy for the first time since March 2022, after what was the longest stretch of fear ever. Bitcoin Fear And Greed Index Now Points At “Greed” The “fear and greed index” is an indicator that tells us about the general sentiment among investors in the Bitcoin (as well as the wider crypto) market. To represent this sentiment, the metric uses a numeric scale that runs from 0-100. All values below 50 imply a fearful market, while those above this threshold suggest greedy holders. Although this cutoff point might look clean in theory, in practice, the region between values of 46 and 54 is generally considered to belong to a “neutral” sentiment. Real breakouts towards fear or greed only take place when the metric crosses below or above this transition region. There are also two other “special” sentiments: extreme greed and extreme fear. The former occurs above values of 75, while the latter happens under values of 25. The significance of these extreme sentiments is that tops and bottoms have historically tended to form when the investors have held these mentalities. Because of this, some traders believe extreme fear periods provide ideal buying opportunities (as bottoms have taken place here), while times with extreme greed could be the best selling windows (since tops occur here). Related Reading: CryptoQuant’s Bitcoin PnL Index Forms Bullish Crossover A trading strategy called “contrarian investing” is based on a similar idea. As Warren Buffet said in his famous quote, “be fearful when others are greedy, and greedy when others are fearful.” Now, here is how the current sentiment among Bitcoin (and wider crypto) investors looks like: A greedy cryptocurrency sector | Source: Alternative As can be seen above, the Bitcoin fear and greed index has a value of 55 right now, suggesting that the market has now properly entered into the greed zone. Before this break into the region, the sector had been in the fear region nonstop since March 2022, around ten months ago. Related Reading: Litecoin Whale Transactions Set New 2023 High, Bullish Signal? The below chart shows how the metric’s value has changed during the past year. Looks like the metric has observed some growth in recent days | Source: Alternative From the graph, it’s visible that the indicator had spent almost the entire past year not just in the fear zone, but actually all the way down in the extreme fear region. There was only one proper spike into greed during this period, and that was the aforementioned March 2022 instance. This previous surge had only lasted for a single day before the market became fearful again. These continuous streaks of fear and extreme fear during the past year were both the longest runs in the history of the indicator. Greed finally returning to the Bitcoin market after all this while could mean that investors are ready to embrace some bullish action once again, which could be a positive sign for the current rally. BTC Price At the time of writing, Bitcoin is trading around $22,900, up 9% in the last week. The value of the asset seems to have been consolidating in recent days | Source: BTCUSD on TradingView Featured image from André François McKenzie on Unsplash.com, charts from TradingView.com, Alternative.me

View Details

Bitcoin Flies Above $47,300, But Watch Out For Extreme Greed

Bitcoin is finally showing a sustained bullish push as it has now broken above $47,300, but overly positive sentiment can be an obstacle to this rally. Bitcoin Fear & Greed Index Suggests Market Is Nearing Extreme Greed The “Fear & Greed Index” is an indicator that tells us about the general sentiment among the investors in the Bitcoin and wider cryptocurrency sector. According to Alternative, its creator, the index takes into account five factors to calculate this sentiment. These are volatility, market volume, social media sentiment, market cap dominance, and Google Trends. The index outputs the sentiment as a number lying between zero to hundred. Related Reading: Ethereum Breaks Above $2,400: This Metric Points To Further Upside All values of 46 and under imply the investors are fearful, while those of 54 or over suggest the presence of greed in the market. The region between 47 and 53 corresponds to the region of neutral sentiment. Now, here is what the Fear & Greed Index looks like for Bitcoin right now to see which of these regions the market stands in at present: The current value of the sentiment according to this index | Source: Alternative As is visible above, the Bitcoin Fear & Greed Index has a value of 72 at the moment, implying that the majority of the investors in the space share a greedy mentality. Besides the three core sentiments mentioned earlier, there are also two extreme ones: the extreme fear and extreme greed. The former of these occurs at values of 25 and under, while the latter takes place at 75 and above. Historically, these two sentiments, in particular, have held great significance for the cryptocurrency’s trajectory. Generally, at any point, the asset is more likely to move against the expectations of the majority, and in these extreme regions, this expectation becomes the strongest. As such, these sentiments have been where major reversals in the asset have been the most likely to occur. Followers of a trading philosophy called “contrarian investing” exploit this fact to time their buying and selling moves. Warren Buffet‘s famous quote sums up the idea, “Be fearful when others are greedy, and greedy when others are fearful.” At a value of 72, the Bitcoin market is quite close to entering into the extreme greed region right now. Just yesterday, the metric had a value of 66, which means there has been some jump in just the past 24 hours. Looks like the value of the metric has shot up over the past day | Source: Alternative This increase in the index has naturally come because of the bullish momentum that the asset has enjoyed in the past day. Any further improvements in sentiment, however, may be alarming, as the metric would then enter into the extreme greed territory. The last time that the Bitcoin Fear & Greed Index surged into extreme greed values was around the time of the approval of the spot exchange-traded funds (ETFs). As it happened, the coin hit its top, coinciding with this overly bullish mentality. Related Reading: Analyst Reveals Potential Trigger For A 32% Cardano (ADA) Rally Thus, if this precedence is anything to go by, any visit into the territory in the coming days may serve as a warning that a top is near for the cryptocurrency. BTC Price Bitcoin has enjoyed an uplift of over 6% during the past 24 hours as its price has cleared the $47,300 level. The price of the coin appears to have been going up over the last couple of days | Source: BTCUSD on TradingView Featured image from Michael Förtsch on Unsplash.com, charts from TradingView.com, Alternative.me

View Details

Bitcoin Traders Fearful For First Time Since October: Buying Signal?

Data shows the sentiment among Bitcoin traders has plunged into the fear territory following the crash in the cryptocurrency’s price. Bitcoin Fear & Greed Index Has Plummeted During The Past Day The “Fear & Greed Index” refers to an indicator devised by Alternative that tells us about the average sentiment that’s currently present in the Bitcoin and wider cryptocurrency markets. This metric makes use of a numerical scale that runs from zero to hundred for representing the market mentality. All values above the 53 mark correlate to the investors sharing a sentiment of greed, while those under 47 suggest the presence of fear in the sector. The region in-between these cutoffs corresponds to a net neutral sentiment. Related Reading: Stablecoins See Positive Momentum: Will This Lead To New Bitcoin All-Time High? Besides these three main regions, there are also two special zones known as the extreme fear and extreme greed. The former occurs below 25 and the latter above 75. Now, here is how the latest market sentiment has looked according to the Bitcoin Fear & Greed Index: As is visible above, the indicator has a value of 44, which suggests the traders in the sector are being fearful at the moment. This is a drastic change from how the market has been recently, as the below chart displays. On the 31st of last month, the Bitcoin Fear & Greed Index had a value of 76, meaning that the market sentiment was inside the extreme greed territory. Just three days later, the trader’s opinion has completely flipped. The rapid deterioration in sentiment is a result of the bearish price action that the asset has witnessed this month, which has culminated in a crash during the past day. If history is to go by, though, the skepticism that has developed among the investors may actually be a positive sign for BTC’s price. Bitcoin and other digital assets often tend to move in a direction that’s opposite to what the crowd is expecting. The probability of such a contrary move taking place only rises the stronger the investors’ belief becomes. Related Reading: Bitcoin HODLer Selloff Extends To 1.1 Million BTC As Profit-Taking Continues Extreme greed and extreme fear are where this likelihood is the strongest, so major tops and bottoms have historically formed when the Fear & Greed Index has been in these regions. The top last month, for instance, also occurred alongside extreme greed. Traders who follow an investing philosophy called contrarian trading exploit this fact to time their moves. Warren Buffet‘s famous quote sums up the idea: “Be fearful when others are greedy, and greedy when others are fearful.” While the market sentiment hasn’t quite worsened into extreme fear yet, the fact that the metric is at its lowest value since October could still be a sign that a contrarian trader may be looking for. It now remains to be seen whether the current level of fear would be enough for Bitcoin to bottom out, or if a further drop will happen first. BTC Price At the time of writing, Bitcoin is floating around $95,200, down around 4% in the last 24 hours. Featured image from Dall-E, Alternative.me, chart from TradingView.com

View Details

Extreme Greed Is Back For Bitcoin, Is It Time To Sell?

Data shows extreme greed sentiment has made a return among the Bitcoin investors after the cryptocurrency’s price has broken above $50,000. Bitcoin Fear & Greed Index Now Points Towards “Extreme Greed” The “Fear & Greed Index” refers to an indicator that tells us about the general sentiment among Bitcoin traders and broader cryptocurrency sectors. The metric represents this sentiment using a numerical scale from zero to hundred. According to Alternative, its creator, the index calculates this score using five factors: volatility, trading volume, social media sentiment, market cap dominance, and Google Trends. Related Reading: CryptoQuant Founder Puts $112,000 Target For Bitcoin This Year When the Fear & Greed Index has a value of 54 or greater, the investors now share a sentiment of greed. On the other hand, values of 46 or less imply the presence of fear among the traders. The region between these two ranges (values 47 to 53) corresponds to the territory of “neutral” sentiment. In addition to these three core sentiments, “extreme fear” and “extreme greed” occur at the deep ends of the fear and greed ranges. Here is what the Bitcoin Fear & Greed index looks like right now to see which of these regions the market is in: Looks like the value of the metric is 79 at the moment | Source: Alternative As displayed above, the Bitcoin Fear & Greed Index has surpassed the 75 threshold for extreme greed during the past day and has attained a value of 79. The metric was at 70 yesterday, so it has seen a bit of a jump in just the last 24 hours. This surge in sentiment from greed to extreme greed has occurred as cryptocurrency broke past the $50,000 barrier for the first time since December 2021. Historically, the extreme sentiments have been quite significant for the asset, as major bottoms and tops for the price have occurred in these regions. This relationship between the two, however, has been inverse. Extreme fear has been when bottoms have taken shape, while extreme greed has been where tops have formed. In the past, Bitcoin has usually tended to move against the majority’s expectations. This expectation is the strongest in these ranges, so it makes sense that a reversal is the primarily likely here. Followers of a trading philosophy called “contrarian investing” exploit this fact to time their buying and selling moves. “Be fearful when others are greedy, and greedy when others are fearful” is a famous quote from Warren Buffet that sums up the idea. As the chart below shows, the last time the Fear & Greed Index attained extreme greed levels was around the time of the spot ETF approval. The trend in the Fear & Greed Index over the past year | Source: Alternative As BTC investors are very well aware, the coin hit a top coinciding with the event as the market took to selling the news. Since the sentiment is now back inside extreme greed with its latest surge, another similar reversal point may be close for its price. Related Reading: Dogecoin Out Of Fashion? Volume & Whale Activity Plunges Perhaps it’s at a time like this when a contrarian investor would consider moving towards selling, going against the hype and euphoria floating around the market. BTC Price Bitcoin has enjoyed a surge of over 4% in the past day, which has taken its price towards the $50,000 mark. The price of the coin appears to have shot up over the past day | Source: BTCUSD on TradingView Featured image from Shutterstock.com, Alternative.me, charts from TradingView.com

View Details

Bitcoin Sentiment Now Worst Since Mid-October: Reversal Signal?

Data shows the Bitcoin investor sentiment has plunged to the lowest level since the middle of October. Here’s what this could mean for BTC’s price. Bitcoin Fear & Greed Index Has Seen A Decline Recently The “Fear & Greed Index” refers to an indicator created by Alternative that tells us about the general sentiment present [...]

The post Bitcoin Sentiment Now Worst Since Mid-October: Reversal Signal? appeared first on Crypto Breaking News.

View Details