Massive Negative Sentiment Appears
Has the trading crowd finally had enough of all of this ranging? It appears that FUD may be taking over on social platforms. Take a look at the huge spike of bearish sentiment that has shown up on our key bullish vs. bearish word comparison Social Trends chart:
Well, it could be a fluke. But zooming in on which platforms are showing the most negative sentiment, this massive spike of negative words toward crypto appears to all be coming from Twitter at the moment:
There does appear to be an unusually high amount of negative commentary about the markets. It's particularly interesting that #cryptocrash has been a key of-and-on trending hashtag on the platform, even though Bitcoin's mild -5% pullback occurred more than three days ago.
Typically, you can capitalize on this level of negativity on the markets, and this kind of overwhelmingly bearish sentiment can lead to a nice bounce to silence the critics. Keep an eye on funding rates as well:
Traders are more of a mixed bag when it comes to shorting or longing the markets right now. So there could be something funky going on with an inflated amount of negative comments, even though perpetual contract funding rates on exchanges aren't necessarily matching the sentiment.
Disclaimer: The opinions expressed in the post are for general informational purposes only and are not intended to provide specific advice or recommendations for any individual or on any specific security or investment product.
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