To dip or not to dip...

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socialtrends
Jan 3, 2022

Metrics used: Weighted social sentiment, social search

Links to layouts: https://bit.ly/31jGFn8 (social search for "buy the dip")
https://app.santiment.net/s/a8wAuVnJ (BTC layout)


We are all looking forward for the new (bull?bear) year to unleash its power.
Are we ready for it yet? Let's find it out..


As we've learnt from the past experience (subject to extremely rare exceptions) the moments when the crowd is "convinced" in something - you'd better do opposite.
So, we definitely don't want to be the crowd.


How can we dot it? Well, let's find it out..


Hear (or rather read) the screams of "buy the dip"? So did we. One chart is better than 2k words.


the crowd "buying the dip"

Another, deeper look into the same data can reveal interesting details about "where and when the crowd talks":

"buying the dip" across different social channels

Now, when we know (more than most of the crowd out there) regarding the"buying the dip", let's also dive into the sentiment itself.


For that we want to use our "weighted crowd sentiment". This is basically the crowd sentiment but also multiplied with the "social volume". Can reveal how much is excitement or depression of the crowd is.


Weighted crowd sentiment


What we can see from this data is twofold.

On one side, the sentiment is as low as it usually goes before bottoming up.
On another side - we usually (like in 80% of the cases) see improvement of the sentiment into the falling (or depressed) prices right before the recovery starts for real.


We would like to stop right here, leaving you, the dear community member, with the ideas, data and charts in front of you. Links are on the top of this page.


Feel welcomed to discussed your opinions on our discord server.

CRYPTO MARKETSTRATEGIES/ALPHA
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socialtrends
Jan 3, 2022

Thanks for reading!

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