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Breaking News: Raydium DEX's AMM Program Exploited For $1.34 Million — Here's What Went Wrong

Bitcoin At Decision Point As Investors Hold Neutral Sentiment

Keshav Verma
Keshav Verma
Last Updated: June 11, 2024 8:06 am
3 mins read
Bitcoin

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Bitcoin may be at a decision point right now as investor sentiment is exactly neutral. Which way will the market tip in the coming days?

Bitcoin Fear & Greed Index Suggests Market Is Neutral

A few days back, Bitcoin had observed a sharp plunge that had taken the cryptocurrency’s value towards the $29,000 level. In the days that followed, the asset had only consolidated around these relatively low levels, but during the last 24 hours, things appear to have changed a bit.

The impetus for this latest volatility appears to have been the US Federal Reserve (Fed) hiking interest rates by an expected 25 bps. Shortly after the FOMC meeting had announced this increase, Bitcoin started to surge, giving investors hope that the coin may be traveling back toward the $30,000 level.

This new rise, however, seems to have already run out of steam, as BTC has fallen back to lower levels. At the time of writing, Bitcoin is trading around $29,400, down 2% in the past week.

Bitcoin Price Chart

BTC's recovery hasn't been much yet | Source: BTCUSD on TradingView

While Bitcoin has retraced from its peak during the past day, the cryptocurrency is still up a net amount in this period, meaning that the asset has managed to hold onto some recovery nonetheless.

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The fact remains, though, that the coin has been unable to keep up its upward trend, a sign that the market is still perhaps indecisive about its direction. This is reflected in the general investment sentiment in the space, as the “Fear & Greed Index” shows.

Bitcoin Fear & Greed Index

Looks like the needle is pointing directly in the middle currently | Source: Alternative

The Fear & Greed index makes use of various market-related metrics (like volatility, dominance, and volume) to judge what the most likely sentiment of the average participant in the sector is currently.

This index has a value of 51 right now, which means that the Bitcoin investor sentiment is almost exactly in the balance. This lack of direction in the market isn’t a new development; the investors have been leaning towards neutrality for a week or so now.

Bitcoin Neutral

The trend in the Fear & Greed Index over the past year | Source: Alternative

The current neutral sentiment must not be confused with a lack of interest in Bitcoin, however, as data from the on-chain analytics firm Santiment shows that the share of social media discussions related to the 100 largest assets in the cryptocurrency sector occupied by BTC alone (the “social dominance“) is now at a two-week high.

Bitcoin Social Dominance

BTC-related talks make up for 33% of all discussions related to the top 100 coins | Source: Santiment

The traders look to have an active interest in Bitcoin at the moment, but their collective opinion isn’t favoring any one side. In situations like these, it’s generally hard to say which way the cryptocurrency might go in next.

Related Reading: Bitcoin Exchange Supply Only Slips Further Despite Price Decline

If this indecisiveness in the market stays in the coming days, though, it’s likely that BTC’s stagnation will continue further, as moves in either direction (if any) may not be able to go on for long.

Featured image from iStock.com, charts from TradingView.com, Alternative.me, Santiment.net
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Keshav Verma
Keshav Verma

Keshav Verma

Keshav is currently a senior writer at NewsBTC and has been attached to the website since June 14, 2021.

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Keshav has been writing for many years, first as a hobbyist and later as a freelancer. He has experience working in a variety of niches, even fiction at one point, but the cryptocurrency industry has been the longest he has been attached to.

In terms of official educational qualifications, Keshav holds a bachelor’s degree in Physics from one of the premier institutes of India, the University of Delhi (DU). He started the degree with an aim of eventually making a career in Physics, but the onset of COVID led to a shift in plans. The virus meant that the college classes had to be delivered in the online-mode and with it came free time for him to explore other passions.

Initially only seeking to make some beer money, Keshav unexpectedly landed clients offering real projects, after which there was no looking back. Writing was something he had always enjoyed and to be able to do it for a living was like a dream come true.

Keshav completed his Physics degree in 2022 and has been focusing on his writing career since, but that doesn’t mean his passion for Physics has ended. He eventually plans to re-enter university to obtain a masters degree in the same field, but perhaps only to satiate his own interest rather than for using it as a means to find employment..

Keshav has found blockchain and its concepts fascinating ever since he started going down the rabbit-hole back in 2020. On-chain analysis in particular has been something he likes to research more about, which is why his NewsBTC pieces tend to involve it in some form.

Being of the science background, Keshav likes if concepts are clear and consistent, so he generally explains the indicators he talks about in a bit of detail so that the readers can perhaps come out having understood and learnt something new.

As for hobbies, Keshav is super into football, anime, and videogames. He enjoys football not only as a watcher, but also as a player. For games, Keshav generally tends towards enjoying singleplayer adventures, with EA FC (formerly FIFA) being the only online game he is active in. Though, perhaps due to being ultra-focused on the game, he is today a semi-pro on the EA FC scene, regularly participating in tournaments and sometimes even taking back prize money.

Because of his enthusiasm for anime and games, he also self-learned Japanese along the way to consume some of the untranslated gems out there. The skill didn’t merely remain as just a hobby, either, as he put it to productive use during his exploration for small-time gigs at the start of COVID, fulfilling a couple of Japanese-to-English translation jobs.

Keshav is also big into fitness, with agility and acceleration-related workouts making a big part of his program due to the relevance they have in football. On top of that, he also has a more traditional strength based program for the gym, which he does to maintain an overall fitness level of his body.

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Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
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How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

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