It was revealed in a recent report by Santiment that XRP, Dogecoin (DOGE) and Shiba Inu (SHIB) have experienced their most negative crowd sentiment of the year. This drop follows notable price declines for these popular altcoins. The report indicates that the collective sentiment surrounding these cryptocurrencies has crashed, creating potential buying opportunities for patient traders.
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The drop in crowd mood is also interesting as it marks the lowest point of positive mentions and sentiment toward these assets in 2024. The infamous fear of missing out (FOMO) has also reached its lowest point this year, suggesting that a pivotal point for these cryptocurrencies is here.
Source: Santiment
Santiment's analysis uses a sentiment-weighted metric, which adjusts values based on the number of mentions and standardizes data to make sentiment across assets comparable. This metric reveals spikes and dips in sentiment when there is a high volume of mentions expressing a predominant sentiment, whether positive or negative.
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In summary, the sharp decline in positive sentiment can be attributed to the recent price declines, which caused many investors to express doubts and concerns.
However, this period of negativity may present a strategic opportunity for traders who have been waiting for a more favorable entry point. The current sentiment suggests that the market may be nearing a bottom, offering the potential for profits when prices rebound.