Bitcoin Hits Record High of $93,490: Social Media Hype Signals Possible Correction

Share This Post

Bitcoin Price Prediction Here’s How Inflation Data Today Can Push BTC Beyond $89k

The post Bitcoin Hits Record High of $93,490: Social Media Hype Signals Possible Correction appeared first on Coinpedia Fintech News

The largest cryptocurrency by market cap Bitcoin has surged past $93,000 fueled by US President-elect Donald Trump’s pledge to ease crypto regulations. Meanwhile, this has sparked excitement on social media setting sights on an ambitious $100K target. However, Santiment, an on-chain analytics platform, warns that this hype might lead to a short-term pullback for BTC

Social Media Hype Signal: BTC To $100K

Santiment, a leading market intelligence platform, observed that as Bitcoin hit a record high, social media quickly became flooded with “$100K+ BTC” price predictions, just hours after Bitcoin reached its peak raising an interesting caution for traders.

According to Santiment’s analysis, social media activity often acts as a barometer for Bitcoin’s price movement. Historically, when social media activity surges with optimistic price predictions, it signals that retail investors are jumping in. 

However, the recent excitement surrounding Bitcoin’s historic high has created an atmosphere of “FOMO” (fear of missing out), where retail traders feel pressured to buy in quickly. However, experienced traders tend to approach this type of market enthusiasm with caution, as intense social media hype can sometimes signal an upcoming price pullback.

Counter-Trading the Crowd

Santiment suggests that successful traders often counter the crowd’s sentiment. When social media FOMO drives Bitcoin hype, experienced investors may see this as an opportunity to sell or pause on buying. This is because extreme optimism can sometimes lead to short-term corrections, allowing for a more favorable entry price after the hype dies down. 

In contrast, when social media sentiment is in doubt, traders often see this as a buying opportunity, capitalizing on lower prices during phases of public uncertainty.

Caution Flag Amidst Record-Breaking Run

While Bitcoin’s recent rally to new highs is exciting news, Santiment’s insights suggest that caution may be wise. The hype on social media can cloud objective decision-making, pushing prices into short-lived spikes. 

For new and seasoned investors alike, Santiment’s recommendation to “counter-trade the crowd with confidence” serves as a reminder to assess the market calmly.

Read Entire Article
spot_img
- Advertisement -spot_img

Related Posts

Vaneck’s Matthew Sigel Sets Bitcoin Target at $180,000

Matthew Sigel, head of digital assets research at Vaneck, projects a significant upward trajectory for bitcoin, setting a target price of $180,000 Bitcoin Could Reach $180,000 by Next Year, Says

Ex-TD Ameritrade CEO says Bitcoin is ‘here to stay,’ foresees significant growth

Joe Moglia, former CEO of TD Ameritrade, projected that Bitcoin (BTC) is primed for substantial growth, reinforcing its position as a vital asset in the global financial landscape Moglia made the

Bitcoin Price And The Trump Effect: Here’s What Happened The Last Time Donald Trump Was President

The Bitcoin price has soared to a new all-time high, driven by the bullish sentiment generated by the Donald Trump effect following the just-concluded US Presidential elections The last time Trump

Solana Surges As Momentum Resumes, Is $240 the Next Stop?

Solana (SOL) is gaining momentum once more, with bullish energy pushing it higher as it aims for the next major resistance at $240 Following recent consolidations, SOL has surged onto traders’

Coinbase Acquires Utopia Labs Team to Accelerate Onchain Payments

Coinbase is enhancing its onchain payments capabilities with the acquisition of the Utopia Labs team, which will join Base to advance the onchain payments roadmap within Coinbase Wallet Jesse Pollak,

Crypto Legal Battle: 18 States Accuse SEC Of Unconstitutional Regulatory Actions

In a significant challenge to the US Securities and Exchange Commission (SEC) and its regulatory approach toward the crypto industry, 18 states have filed a lawsuit against the agency and its