Data show “buy the dip” Following the plunge in the value of Bitcoin below $66,000, social media is flooded with requests for Bitcoin.
Bitcoin social volume for terms related to Buy the Dip has shot up
Data from an analytics firm SantimentBitcoin has seen a sharp fall, but investors are more bullish than bearish despite this.
Here, the indicator that is relevant to you is “Social Volume” tells us how much discussion is currently taking place on major social media platforms about any given term or topic.
This metric works by going through the various posts/threads/messages on these websites to check for mentions of the topic. However, the indicator doesn’t count all mentions directly, rather it counts how many posts contain a mention.
It’s because a large number of mentions alone is not a good indicator that social media users are discussing the subject. A spike can be caused by a small amount of discussion.
Santiment filters the Social Volume by keywords that are bullish or bearish to see how they compare.
Below is a chart that shows the change in these metrics since 2024.
In recent days, the value of this metric has been high | Source: Santiment on X
To pinpoint bullish sentiment the firm uses terms such as “buy” You can also find out more about “bullish.” Similarly, “sell” You can also find out more about “bearish” Keywords for opposing sentiments include:
On the graph it is clear that Social Volume has skyrocketed for former types of terms following the latest plunge Social media users may be looking to the Bitcoin price drop as an opportunity for them to purchase more.
Although the bearish social volume has experienced a similar rise in price, it has not reached as much of a peak as one bullish term. Although the bullish investors may seem optimistic, it is important to note that in the past this was not the best time for the market to recover.
Santiment notes that:
In the past, dip buying opportunities have been best when there is a general consensus that a drop will occur. This results in wallets being dropped by whales or sharks.
As such, current market excitement may in fact be counterproductive to your chances for success. bottom The real world is a form. According to the analysts, the real “buy the dip” Bitcoin may be a good investment once red sentiment catches up with blue.
BTC Price
Bitcoin’s price is currently hovering around $65,700. It has fallen more than 7% over the last week.
Source:| Source: BTCUSD on TradingView
Featured images from Maxim Hopman, Unsplash.com and Santiment.net. Charts from TradingView.com
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