Bitcoin Momentum

#Bitcoin sentiment has been at highs and the bull keeps running - a phenomenon we call sentiment momentum. In this paper https://lnkd.in/gasgp9BQ we show that across thousands of global stocks, sentiment precedes price momentum (using Granger Causality Analysis), and the chart below illlustrates that effect in #BTC.

In the chart, the black price bars are BTC/USD and the smooth lines are two moving averages of #sentiment (30 day and 90 day superimposed). The red shading indicates negative sentiment pressure (the 30-day sentiment is lower than 90-day), and blue shading indicates more positive sentiment.

Social sentiment on BTC is the highest since 2020, and news sentiment is the highest since 2018. When sentiment falls substantially, we're likely to see a price correction, but that isn't happening yet.