Over the past seven days, the top trending words on cryptocurrency social media are “dip”, “buy” and “Fed”. Plus, the word “sell” fell out of the top 10 trending topics last night despite spiking sharply on Tuesday.
According to crypto market data aggregator Santiment, social media users from Meta to Telegram to Twitter have formed a choir and they’re all singing from the same hymn sheet. “Dip” and “buy” are the top one and three trending words, while “Fed”, or Federal Reserve, sits at number six.
The behavior analysis and monitoring platform Santiment sheds light on social volumes for words on crypto social media which can be indicative of overall sentiment. It works in a similar way to the Fear and Greed Index which currently shows a score of 18, extreme fear.
In contrast to the index and some trader fears of a $30,000 price per Bitcoin (BTC), social media buy sentiment remains strong. It is still just one-third of the score of 1,875 points that spiked on Dec. 4, 2021, when the BTC price flash crashed to $42,000.
Federal Reserve features high up on the list due to discussion surrounding a potential rate increase in 2022. Bitcoin bull Vijay Boyapati is nonplussed. In a Tweet on Wednesday, he suggested that BTC will fly when the Fed “loses control of the bursting bubble they’ve inflated for the last decade.”
Curiously, there was a spike in “sell” sentiment activity on Jan. 4. The clamoring to sell three days ago was just as intense as those chiding investors to buy on Nov. 29. 2021, at 4,828 Santiment points. However, back then the bull run appeared to be in full swing.
Overall, crypto sentiment seems optimistic that the current market action is just a dip. However, the topic “bear” has crept up from the number 10 position last night to number eight this morning.
With BTC prices dipping as low as $41,000, there could be more volatility to come.