- As market prices have fallen in the past few days, Bitcoin social volumes have started to increase. Individual buyers may be trying to take advantage of this opportunity to buy from the bottom and they are not silent about it.
Onchain data aggregator Santiment’s research reveals that enthusiasm can return to the market after seeing some significant increases in the ‘social volume’ indicator for Bitcoin (BTC).
Santiment’s Bitcoin social volume is a crowd metric that measures the level of interest among investors by measuring the number of mentions on social media platforms.
Over the past six days, the perception has shown an inverse correlation with the bitcoin price. This development is most likely the result of market participants having the opportunity to take positions or buy at lower prices.
When the bitcoin price fell below the $ 29,000 price level on January 22, social media volume exploded with 908,000 mentions. A similar level of interaction was last seen between January 14th and 15th, when it recorded an all-time high.
Santiment’s positive and negative Bitcoin shipping chart
Although what is said on social media consists of both positive and negative emotions, the tool delves into these two separate categories. A look at the chart supports the narrative of the uptrend as it shows a higher predominance of what it sees as positive words.
The resurgence of Bitcoin social volumes after a significant sale reinforces the digital asset’s bullish situation. Meanwhile, traders who managed to get from the bottom earned 10% at the time of writing.
One possible factor contributing to the current price of bitcoin is competition with the rest of the market for dominance. Bitcoin dominance dropped 10% in the first three weeks of 2021.
This change in market share was reflected in gains that drove the other half of the market into a momentary frenzy, led by Ethereum.
At the time of our article, Bitcoin was at the level of $ 31,500. This means an 11% drop since yesterday’s opening.