{"id":537880,"date":"2023-06-14T15:30:34","date_gmt":"2023-06-14T15:30:34","guid":{"rendered":"https:\/\/uniquehot.com\/?p=537880"},"modified":"2024-06-11T08:11:33","modified_gmt":"2024-06-11T08:11:33","slug":"bitcoin-sentiment-social-red-covid-crash-bottom-signal","status":"publish","type":"post","link":"https:\/\/uniquehot.com\/news\/bitcoin-sentiment-social-red-covid-crash-bottom-signal\/","title":{"rendered":"Bitcoin Sentiment On Social Media Now Most Red Since COVID Crash, Bottom Signal?"},"content":{"rendered":"

Data shows the Bitcoin sentiment on social media has turned the most negative since the COVID crash, indicating that the bottom could be near.<\/p>\n

Bitcoin Weighted Sentiment Has Been Negative Recently<\/h2>\n

As an analyst on Twitter<\/a> pointed out, BTC’s sentiment is in deep red right now. The relevant indicator here is the “weighted sentiment<\/a>” metric from the on-chain analytics firm Santiment, which, as its name already suggests, hints about the general sentiment among investors in the cryptocurrency market.<\/p>\n

To understand how this indicator works, two other metrics it’s based on must be looked at first. The first is the “sentiment score,” which analyzes social media posts on the major platforms with a machine learning algorithm to check whether the users are being negative or positive about Bitcoin right now and finds the total market sentiment in a score.<\/p>\n

Naturally, the green values of this score imply that the net sentiment in the market is positive currently, while red values suggest the dominance of a negative mentality.<\/p>\n

The other indicator of interest here is the “social volume<\/a>,” which measures the total amount of discussion around an asset that social media investors participate in.<\/p>\n

The sentiment is found in the weighted sentiment metric by weighting the sentiment score against this social volume. This means this metric would, for example, only show highly positive values when the market sentiment is positive. At the same time, there are also a large number of discussions happening on social media.<\/p>\n

Related Reading: What Bitcoin And Crypto Traders Can Expect From Today\u2019s FOMC Meeting<\/a><\/div>\n

Now, here is a chart that shows the trend in the Bitcoin-weighted sentiment over the last few years:<\/p>\n

\"Bitcoin<\/p>\n

The value of the metric seems to have been quite negative in recent days | Source: Santiment on Twitter<\/a><\/pre>\n

The above graph shows that the Bitcoin-weighted sentiment has recently shown a large negative value. This suggests that many discussions related to BTC are happening on social media platforms, and the average sentiment contained in them is negative.<\/p>\n

From the chart, it’s also visible that the current red values are more negative than any spike observed since way back during the COVID-19 crash<\/a> in March 2020.<\/p>\n

Historically, the Bitcoin price has tended to move in a direction that the crowd isn’t expecting. The probability of such price action increases the more the general investors lean towards one particular side.<\/p>\n

Related Reading: Bitcoin Market At Decision Point: Will This On-Chain Retest Be Successful?<\/a><\/div>\n

The cryptocurrency also followed this pattern during the COVID-19 crash, where the deep plunge in the sentiment became a bottom signal for the price.<\/p>\n

It now remains to be seen whether a similar pattern will also repeat this time as well and Bitcoin will form a bottom off the back of this poor market sentiment or not.<\/p>\n

BTC Price<\/h2>\n

At the time of writing, Bitcoin is trading around $26,000, down 2% in the last week.<\/p>\n

\"Bitcoin<\/p>\n

Looks like the coin has stagnated over the last few days | Source: BTCUSD on TradingView<\/a><\/pre>\n
Featured image from iStock.com, charts from TradingView.com, Santiment.net<\/div>\n","protected":false},"excerpt":{"rendered":"

Data shows the Bitcoin sentiment on social media has turned the most negative since the COVID crash, indicating that the bottom could be near. Bitcoin Weighted Sentiment Has Been Negative Recently As an analyst on Twitter pointed out, BTC’s sentiment is in deep red right now. The relevant indicator here is the “weighted sentiment” metric from the on-chain analytics firm Santiment, which, as its name already suggests, hints about the general sentiment among investors in the cryptocurrency market. To understand how this indicator works, two other metrics it’s based on must be looked at first. The first is the “sentiment score,” which analyzes social media posts on the major platforms with a machine learning algorithm to check whether the users are being negative or positive about Bitcoin right now and finds the total market sentiment in a score. Naturally, the green values of this score imply that the net sentiment in the market is positive currently, while red values suggest the dominance of a negative mentality. The other indicator of interest here is the “social volume,” which measures the total amount of discussion around an asset that social media investors participate in. The sentiment is found in the weighted sentiment metric by weighting the sentiment score against this social volume. This means this metric would, for example, only show highly positive values when the market sentiment is positive. At the same time, there are also a large number of discussions happening on social media. Related Reading: What Bitcoin And Crypto Traders Can Expect From Today\u2019s FOMC Meeting Now, here is a chart that shows the trend in the Bitcoin-weighted sentiment over the last few years: The value of the metric seems to have been quite negative in recent days | Source: Santiment on Twitter The above graph shows that the Bitcoin-weighted sentiment has recently shown a large negative value. This suggests that many discussions related to BTC are happening on social media platforms, and the average sentiment contained in them is negative. From the chart, it’s also visible that the current red values are more negative than any spike observed since way back during the COVID-19 crash in March 2020. Historically, the Bitcoin price has tended to move in a direction that the crowd isn’t expecting. The probability of such price action increases the more the general investors lean towards one particular side. Related Reading: Bitcoin Market At Decision Point: Will This On-Chain Retest Be Successful? The cryptocurrency also followed this pattern during the COVID-19 crash, where the deep plunge in the sentiment became a bottom signal for the price. It now remains to be seen whether a similar pattern will also repeat this time as well and Bitcoin will form a bottom off the back of this poor market sentiment or not. BTC Price At the time of writing, Bitcoin is trading around $26,000, down 2% in the last week. Looks like the coin has stagnated over the last few days | Source: BTCUSD on TradingView Featured image from iStock.com, charts from TradingView.com, Santiment.net<\/p>\n","protected":false},"author":542,"featured_media":537922,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3],"tags":[428,27251,86409,1119,1144,86554,88425],"class_list":["post-537880","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-bitcoin","tag-bitcoin-bottom","tag-bitcoin-sentiment","tag-btc","tag-btcusd","tag-covid","tag-covid-crash"],"acf":[],"yoast_head":"\nBitcoin Sentiment On Social Media Now Most Red Since COVID Crash, Bottom Signal?<\/title>\n<meta name=\"description\" content=\"Data shows the Bitcoin sentiment on social media has turned the most negative since the COVID crash, a sign that the 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Keshav has been writing for many years, first as a hobbyist and later as a freelancer. He has experience working in a variety of niches, even fiction at one point, but the cryptocurrency industry has been the longest he has been attached to. In terms of official educational qualifications, Keshav holds a bachelor\u2019s degree in Physics from one of the premier institutes of India, the University of Delhi (DU). He started the degree with an aim of eventually making a career in Physics, but the onset of COVID led to a shift in plans. The virus meant that the college classes had to be delivered in the online-mode and with it came free time for him to explore other passions. Initially only seeking to make some beer money, Keshav unexpectedly landed clients offering real projects, after which there was no looking back. Writing was something he had always enjoyed and to be able to do it for a living was like a dream come true. Keshav completed his Physics degree in 2022 and has been focusing on his writing career since, but that doesn\u2019t mean his passion for Physics has ended. He eventually plans to re-enter university to obtain a masters degree in the same field, but perhaps only to satiate his own interest rather than for using it as a means to find employment.. Keshav has found blockchain and its concepts fascinating ever since he started going down the rabbit-hole back in 2020. On-chain analysis in particular has been something he likes to research more about, which is why his NewsBTC pieces tend to involve it in some form. Being of the science background, Keshav likes if concepts are clear and consistent, so he generally explains the indicators he talks about in a bit of detail so that the readers can perhaps come out having understood and learnt something new. As for hobbies, Keshav is super into football, anime, and videogames. He enjoys football not only as a watcher, but also as a player. For games, Keshav generally tends towards enjoying singleplayer adventures, with EA FC (formerly FIFA) being the only online game he is active in. Though, perhaps due to being ultra-focused on the game, he is today a semi-pro on the EA FC scene, regularly participating in tournaments and sometimes even taking back prize money. Because of his enthusiasm for anime and games, he also self-learned Japanese along the way to consume some of the untranslated gems out there. The skill didn\u2019t merely remain as just a hobby, either, as he put it to productive use during his exploration for small-time gigs at the start of COVID, fulfilling a couple of Japanese-to-English translation jobs. Keshav is also big into fitness, with agility and acceleration-related workouts making a big part of his program due to the relevance they have in football. On top of that, he also has a more traditional strength based program for the gym, which he does to maintain an overall fitness level of his body.","sameAs":["https:\/\/www.linkedin.com\/in\/keshavverma29\/","https:\/\/x.com\/https:\/\/twitter.com\/keshavvarma29"],"url":"https:\/\/uniquehot.com\/author\/hououinkyouma29\/"}]}},"parsely":{"version":"1.1.0","meta":{"@context":"https:\/\/schema.org","@type":"NewsArticle","headline":"Bitcoin Sentiment On Social Media Now Most Red Since COVID Crash, Bottom Signal?","url":"http:\/\/uniquehot.com\/news\/bitcoin-sentiment-social-red-covid-crash-bottom-signal\/","mainEntityOfPage":{"@type":"WebPage","@id":"http:\/\/uniquehot.com\/news\/bitcoin-sentiment-social-red-covid-crash-bottom-signal\/"},"thumbnailUrl":"https:\/\/uniquehot.com\/wp-content\/uploads\/2023\/06\/iStock-1359416693.jpg?resize=200%2C200","image":{"@type":"ImageObject","url":"https:\/\/uniquehot.com\/wp-content\/uploads\/2023\/06\/iStock-1359416693.jpg?fit=2309%2C1299"},"articleSection":"Cryptocurrency Market News","author":[{"@type":"Person","name":"Keshav Verma"}],"creator":["Keshav Verma"],"publisher":{"@type":"Organization","name":"NewsBTC","logo":"https:\/\/uniquehot.com\/wp-content\/uploads\/2020\/06\/cropped-cropped-cropped-favicon.png?w=32"},"keywords":["bitcoin","bitcoin bottom","bitcoin sentiment","btc","btcusd","covid","covid crash"],"dateCreated":"2023-06-14T15:30:34Z","datePublished":"2023-06-14T15:30:34Z","dateModified":"2024-06-11T08:11:33Z"},"rendered":"<script type=\"application\/ld+json\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@type\":\"NewsArticle\",\"headline\":\"Bitcoin Sentiment On Social Media Now Most Red Since COVID Crash, Bottom Signal?\",\"url\":\"http:\\\/\\\/uniquehot.com\\\/news\\\/bitcoin-sentiment-social-red-covid-crash-bottom-signal\\\/\",\"mainEntityOfPage\":{\"@type\":\"WebPage\",\"@id\":\"http:\\\/\\\/uniquehot.com\\\/news\\\/bitcoin-sentiment-social-red-covid-crash-bottom-signal\\\/\"},\"thumbnailUrl\":\"https:\\\/\\\/uniquehot.com\\\/wp-content\\\/uploads\\\/2023\\\/06\\\/iStock-1359416693.jpg?resize=200%2C200\",\"image\":{\"@type\":\"ImageObject\",\"url\":\"https:\\\/\\\/uniquehot.com\\\/wp-content\\\/uploads\\\/2023\\\/06\\\/iStock-1359416693.jpg?fit=2309%2C1299\"},\"articleSection\":\"Cryptocurrency Market News\",\"author\":[{\"@type\":\"Person\",\"name\":\"Keshav Verma\"}],\"creator\":[\"Keshav Verma\"],\"publisher\":{\"@type\":\"Organization\",\"name\":\"NewsBTC\",\"logo\":\"https:\\\/\\\/uniquehot.com\\\/wp-content\\\/uploads\\\/2020\\\/06\\\/cropped-cropped-cropped-favicon.png?w=32\"},\"keywords\":[\"bitcoin\",\"bitcoin bottom\",\"bitcoin sentiment\",\"btc\",\"btcusd\",\"covid\",\"covid crash\"],\"dateCreated\":\"2023-06-14T15:30:34Z\",\"datePublished\":\"2023-06-14T15:30:34Z\",\"dateModified\":\"2024-06-11T08:11:33Z\"}<\/script>","tracker_url":"https:\/\/cdn.parsely.com\/keys\/uniquehot.com\/p.js"},"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"https:\/\/uniquehot.com\/wp-content\/uploads\/2023\/06\/iStock-1359416693.jpg?fit=2309%2C1299","amp_enabled":true,"_links":{"self":[{"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/posts\/537880"}],"collection":[{"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/users\/542"}],"replies":[{"embeddable":true,"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/comments?post=537880"}],"version-history":[{"count":0,"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/posts\/537880\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/media\/537922"}],"wp:attachment":[{"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/media?parent=537880"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/categories?post=537880"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/tags?post=537880"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}