Santiment: Social Media Primary Cause for the Pendulous Crypto Market

• • According to data from Santiment, the dangling price movement of cryptocurrencies links to sentiments on social platforms.
  • Data from Alternative.me data, the Bitcoin fear and greed index which measures market sentiment is at a reading of extreme fear.

The month of October kicked off pretty well, with major cryptocurrencies exhibiting promise in a subsequent uptrend. Santiment, a market intelligence platform has devised new data that links the dangling price movement of cryptocurrencies to sentiments on social platforms.

Sharing their findings through their Twitter account. Santiment told its more than 154K followers that in the month of October, the price movement has been dictated by bearish and bullish calls on social platforms despite there being a negative long-term sentiment.

To be distinct, the data shows that prices have moved contrary to social media crowd sentiments. The data sheds some light on the date October 7 when quite a number of bearish calls were made and later pursued by a price bounce in the market.

On both the 8th and 11th, bullish social calls were made and the price dropped.

🤔 Though the long-term crowd sentiment has remained negative, swing trades in October have been dictated by how often #bullish & #bearish calls are happening. When social platforms show too much bearish sentiment, prices bounce. When bullish, prices drop. https://t.co/z4dt4VkFV7 pic.twitter.com/6s7yuJQeuV

— Santiment (@santimentfeed) October 12, 2022

The above data is not surprising as it is clearly eminent that market sentiment has the better of controlling crypto.  Although the Fera of Missing Out (FOMO) is brought out by bullish social calls which lead to a spike in crypto prices, bearish social calls trigger fear, uncertainty, and doubt (FUD) which sees crypto prices to drop.

What’s Next For Bitcoin?

With dissimilar roles played by sentiments in the crypto market, sooner or later Bitcoin could experience a surge. According to data from Alternative.me data, the Bitcoin fear and greed index which measures market sentiment is at a reading of extreme fear.

Despite the fact that the market sentiment remains bearish, a number of investors have stood bearish as BTC continues to record red bars at $18,707.66 down by 2.34% in the last 24 hours.

Bitcoin and the crypto world as a whole have experienced one of the harshest winter seasons ever written in crypto history. Just as things were getting better last year after Bitcoin experienced its Golden year by hitting its all-time high, things have never been the same again.