Cryptocurrencies are in a very difficult territory where no fundamental or technical indicators is actually affecting the price than the sentiment of the community. Every news article or a social mention is actually driving the trend and direction of where the prices are heading to. Although most of the sentiment is derived from the sentiment of the Bitcoin- the largest cryptocurrency, still some altcoins have their specific pros and cons that change their variance from that of Bitcoin. Let’s look at the few indicators that are used widely across to determine the sentiment.
Bitcoin Sentimental Analysis
As mentioned it’s the largest coin in the market that decides most of the trend for the crypto markets is necessary to understand that sentiment it garners among the community. A lot of news flow and sell off has dampened the short term sentiment but yes there are some long-term positives which make Bitcoin an interesting study. An analysis of its social mention and greed and fear index would give us a clear idea of what is happening
#BTC – Hashtag Analysis
#BTC- Social Media Mentions
Sentiment 3:1 in favor of positives
With 170 scores towards neutral and 10 in favor of Positives
Fear to Greed Index
Score 21–Extreme Fear
Fear to Greed Index
Score 30 – Fear
As Bitcoin is now below USD 4000 and hovers close to USD 3600, the fear on the street is still consistent. The two fear and greed index still show pretty high fear levels. But the other two social media analysis indicators show a rise in neutrality stating that the street is pretty much undecided where the coin would be heading to.
Altcoin Sentimental Analysis
Fear and Greed index is only available for BTC as not many altcoins have all components required to calculate it.
Keyhole # analysis
Score – 82
16:1 towards Positives
Neutral, Sharp rise in Positive
2:1 towards Positives
Neutral to Positive, Neutrality rising
BCH- Bitcoin Cash
30.3 % Positive
3:1 towards positives
Neutral to Positive- Positives sneaking up
8:1 towards positives
Neutral to Positive-
17:1 towards positives
Neutral to Positive, Positive rising
While XRP has again regained the No. 2 spot from Ethereum, its sentiment still remains weak and has moved from positive to the neutral zone. Ethereum, that saw a sharp fall last week is getting ready for its Constantinople fork and is now building up some positive sentiment. The Ethereum effect is also seen on the other Altcoins with BCH, EOS, and XLM all showing some positivity.
Will this sentiment actually pull back the prices? Do let us know your views on the same.
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