Bitcoin is currently experiencing heightened levels of fear, uncertainty, and doubt (FUD) on social media platform X as it trades sideways around the $65,000 mark, as per data from Santiment, a cryptocurrency intelligence platform.
According to a post on X by Santiment on June 20, this prolonged level of FUD is uncommon, with traders continuing to show signs of capitulation. The sentiment towards Bitcoin is predominantly negative or indifferent as prices fluctuate between $65K to $66K.
Over the past week, Bitcoin has seen a 3.57% decrease in value, with highs near $67,294 and lows around $64,180, based on data from CoinMarketCap.
Santiment highlighted its Weighted Sentiment Index, which measures Bitcoin mentions on X and evaluates the ratio of positive to negative comments, remaining negative since May 23. Currently standing at -0.738, it indicates that Bitcoin discussions on X are mostly negative.
Despite this negative sentiment, significant positive events for Bitcoin, such as the approval of 11 spot Bitcoin exchange-traded funds on Jan. 10 and the Bitcoin halving on April 20, have caused spikes in positive sentiment levels, reaching 4.49 and 2.35, respectively.
Various members of the crypto community, including traders and analysts with large followings, have expressed negative sentiment towards Bitcoin on social media. Glassnode lead analyst James Check, also known as “Checkmatey,” mentioned in a post on X that Bitcoin has been in a monotonous sideways phase for around 60 days since the halving, while pseudonymous crypto trader Jelle described this period as the most uninteresting phase of the bull market.
Despite the lackluster sentiment, some traders believe that the extended consolidation phase could pave the way for a significant price surge. On June 13, Cointelegraph reported that Bitcoin was in its lengthiest consolidation period to date, with analysts suggesting that this stability could lead to a substantial upward rally.
Furthermore, the Fear and Greed Index, another gauge of crypto market sentiment, currently displays a Greed reading of 63, down by 11 points over the past week. In addition to social media sentiment, this index considers factors such as volatility, market momentum, volume, market dominance, and current trends.
It is important to note that this article does not provide investment advice. Every investment decision carries risks, and readers are advised to conduct their own research before making any financial decisions.