- It can be a good idea to buy more in times of market-wide panic, and the recent Fud-Golf is a good buying option
- Walk in CDD in the past two weeks with BTC almost $ 100k indicated that a fast recovery was not probably the answer
Bitcoin [BTC] Perhaps his buttocks have not yet been reached, according to a recent analysis of Ambcrypto. This also seemed to apply at the time of the press, with the 24-hour long/short ratio that flashed a lecture of 0.91.
Among the customers (market orders) the shorts accounted for 52.35% of the volume – which indicates a bearish sentiment.
Source: Santiment Insights
In one Santiment Insights Mail, user Brian Be on the fact that negative, bearish social media involvement might be the best time to buy more crypto.
Increase markets contrary to the expectations of the majority, and where can the market go next time?
Bitcoin holders and buyers do not have to panic
The social volume data from November showed that spikes in involvement with regard to sales in the crypto atmosphere were indeed followed by price peaks up. In the 12 and 13 November, a higher number of calls saw to sell as the price of Bitcoin $ 90k approached. The King Crypto, however, was quickly racing to $ 100k.
Another copy was the short -term consolidation of around $ 95k in the first week of December. Increased Beerarish involvement was accompanied by a price movement to $ 102k only two days later, and Bullish sentiment kept the subsequent correction.
The most recent extensive Bearish social volume peak took place on 3 February. A quick stroking from $ 92k to $ 102k followed this crash. Since then, however, the short -term trend has been bearish.
A recovery after bearish involvement did not take place last week. BTC’s Coin Days destroyed (CDD) metric revealed that long-term holders moved a considerable amount of Bitcoin from 3-5 February, probably for sales purposes.
This walk saw the increase in the advancing average. In general, however, the advancing average has registered a decrease in CDD since mid -November. The demand growth Has also fallen for the past two months. Together, the CDD and Demand Growth Metrics suggested with an increased tendency to sell/take a profit in recent weeks.
Source: BTC/USDT on TradingView
During this time, BTC has traded within a range. Investors may wonder whether this looks more like a distribution phase than a consolidation for the next leg higher.
Source: BTC.D on TradingView
Another factor that the Bearish sentiment has worsened are the poor performance of the altcoins of the market. This was explained by the rising Bitcoin -Dominance as a share in the total crypto market capitalization.
Is your portfolio green? Check the Bitcoin winning calculator
Putting together everything, while Market Fud suggested that investors had to buy more crypto, the BTC.D graph indicated that buying BTC could be the less risky game. Altcoins will generally perform poorly, although individual coins may shine.