CryptoPotato
CryptoPotato
  • Crypto News
  • Margin Trading
  • Guides
    • Bitcoin & Crypto Guides 101
    • Bitcoin For Beginners
    • Editorials
  • Fund
  • Buy
  • Language
  • Crypto News
  • Bitcoin For Beginners
  • Cryptocurrency Guides 101
  • Editorials
  • Bitcoin & Crypto Margin Trading
  • Bitcoin Price Analysis
  • CryptoPotato Crypto Fund
  • Ethereum (ETH) Price Analysis
  • Ripple (XRP) Price Analysis
  • Market Updates
  • Interviews
  • Buy Bitcoin with Card
  • bitcoin
    BTC$35,689.00
  • ethereum
    ETH$1,220.17
    • Market Updates
    • BTC Analysis
    • ETH Analysis
    • XRP Analysis
    • Interviews
    Home » Crypto News » Room To Grow: Bitcoin Price Has More Upside According to Social Sentiment

    Room To Grow: Bitcoin Price Has More Upside According to Social Sentiment

    Author: Jordan Lyanchev

    Last Updated Dec 29, 2020 @ 13:36

    Crypto sentiment and net unrealized profit/loss suggest that bitcoin still has room for growth before it reaches the peak.

    Despite surging in value to fresh all-time highs, the community’s social perspective on bitcoin hasn’t peaked yet, unlike previous bull runs. Since euphoric levels are typically a good indicator of an upcoming correction, this raises discussions if the current levels suggest that BTC is still a long way from its top.

    Positive But Not Euphoric On BTC

    Bitcoin has enjoyed the past few weeks, especially after it broke above $20,000 for the first time in mid-December. The cryptocurrency continued forwards into uncharted territory and registered several consecutive all-time highs. The latest one saw BTC reaching $28,300.

    Somewhat expectedly, such price developments lead to major shifts in the sentiment towards the cryptocurrency. Apart from the highly volatile price movements, the cryptocurrency community’s opinions and beliefs could change just as rapidly as data from Santiment shows. They could range from extreme pessimism when prices drop to euphoric states during a bull run.

    However, the sentiment going too much in either direction could lead to opposing price developments. Back in mid-May, around the third BTC halving, the general sentiment on Twitter had skyrocketed as bitcoin jumped above $10,000. Shortly after, though, the cryptocurrency plummeted by nearly 20%.

    Something similar transpired in late August and early September when BTC headed for a yearly high of $12,400. While the sentiment surged immediately, bitcoin’s price dipped beneath $10,000 in the following days.

    Nevertheless, the analytics firm said that the current sentiment is still far from breaching into a euphoric state, suggesting that it could continue upwards to its peak. The company described the situation now as “positive, but not euphoric to the degree where prices tops are imminent.”

    Bitcoin Sentiment On Twitter. Source: Santiment
    Bitcoin Sentiment On Twitter. Source: Santiment

    Bitcoin To $65K?

    Another blockchain analytics firm, Glassnode, published its weekly insights on BTC’s performance and actually confirmed the conclusion from above. The company explored the Net Unrealized Profit/Loss (NUPL), which is still relatively low at 0.67.

    According to Glassnode, this means that the metric is “still in the green ‘belief’ zone, and hasn’t yet reached the blue ‘euphoria’ zone that usually represents market tops.”

    Bitcoin NUPL. Source: Glassnode
    Bitcoin NUPL. Source: Glassnode

    During the 2017 parabolic price increase, the NUPR was at its current value when bitcoin traded at $5,600 and still increased by about 250% to its top. Should BTC follow this trend again, the price could see a top of $65,500.

    “This makes BTC’s low NUPL value a bullish signal, as it demonstrates that bitcoin has plenty of room for growth before a market top is reached.” – concluded Glassnode.

    Enjoy reading? Please share:
    Facebook Twitter LinkedIn Telegram
    SPECIAL OFFER (Sponsored)
    Binance Futures 50 USDT FREE Voucher: Use this link to register & get 10% off fees and 50 USDT when trading 500 USDT (limited offer).

    PrimeXBT Special Offer: Use this link to register & enter CRYPTOPOTATO35 code to get 35% free bonus on any deposit up to 1 BTC.

    You Might Also Like:

    • BitcoinEthereumSquarePayPal
      The Digital Age Is Here: Crypto And Fintech Companies Soar, While Bank Stocks Tank
    • Almost $400 Million Short Positions Liquidated as Bitcoin Price Blasts Through $20,000
    • quick_cover
      Last Time Bitcoin Broke $17K The Way To $20K ATH Was Quick
    Read more on: Bitcoin Bitcoin (BTC) Price

    About The Author

    Jordan Lyanchev View more posts by this author

    Jordan got into crypto in 2016 by trading and investing. He began writing about blockchain technology in 2017. He has managed numerous crypto-related projects and is passionate about all things blockchain. Contact Jordan: LinkedIn

  • bitcoin
    BTC$35,689.00
  • ethereum
    ETH$1,220.17
  • Join Our Community

    FacebookTwitter YouTubeTelegram


    ADVERTISEMENT
    binance
    Bitcoin Editorials
    Ethereum 2.0 Staking on Exchange vs. Creating Your Node: What You Need to Know

    Ethereum 2.0 Staking on Exchange vs. Creating Your Node: What You Need to Know

    5 Possible Reasons For Bitcoin’s Price Surge Over $30,000

    5 Possible Reasons For Bitcoin’s Price Surge Over $30,000

    2020 Year In Review: Bitcoin’s Journey From $3800 To Nearly $30K

    2020 Year In Review: Bitcoin’s Journey From $3800 To Nearly $30K

    6 Reasons For The Ongoing Bitcoin Bull-Run Beyond $20K

    6 Reasons For The Ongoing Bitcoin Bull-Run Beyond $20K

    Is Blockchain The Answer To COVID-19 Led Misinformation and Rumor Mongering?

    Is Blockchain The Answer To COVID-19 Led Misinformation and Rumor Mongering?

    Join Our Newsletter
    Become a CryptoPotato VIP
    One Weekly Email Can Change Your Crypto Life.
    Sign-up FREE to receive our extended weekly market update and coin analysis report
    We NEVER send spam. You can unsubscribe at any time.
    Invalid email address
    Thanks for subscribing!
    About
    Advertise on CryptoPotato
    About Us | Contact Us

    Terms of service | Privacy Policy | GDPR
    More Sections
    IEO List | Evaluations
    Airdrops
    Scholarship
    Cannabis Stocks News | Market Analysis
    Disclaimer
    Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. Full disclaimer
    © Copyright CryptoPotato 2016 - 2021
    Scroll to top
    One Weekly Email Can Change Your Crypto Life.

    Sign-up FREE to receive our extended weekly market update and coin analysis report

    We never send SPAM. You can unsubscribe at any moment
    Invalid email address
    Thanks for subscribing!