Coinspeaker Bitcoin Skyrockets Above $93K amid Trump’s Crypto Pledge, Potential Pullback Ahead?
Early Wednesday morning, Bitcoin price BTC $91 009 24h volatility: 3.8% Market cap: $1.80 T Vol. 24h: $126.60 B surged past the $93,000 mark, sparking a wave of excitement among crypto enthusiasts. The surge was partly driven by newly elected US President Donald Trump’s commitment to easing crypto regulations, a policy shift that has reignited optimism in the crypto markets.
This new all-time high of $93,434 has led investors to eagerly forecast a $100,000 price target. However, on-chain analytics platform Santiment issued a word of caution.
Santiment, a well-known market intelligence firm, noted a sharp increase in social media activity following Bitcoin’s price peak. It warned that such levels of online exuberance often precede short-term pullbacks.
Historically, these surges in social media buzz have aligned with high levels of retail investor interest, which seasoned traders view as a possible signal of an impending price correction.
Meanwhile, Bitcoin’s Fear and Greed Index has soared to 88, indicating “extreme greed” in the market — levels last seen in March this year. The index measures market sentiment on a scale from extreme fear to extreme greed, and such high levels suggest that retail investors might be chasing Bitcoin’s price due to “FOMO,” or the fear of missing out.
This rush to buy amid soaring optimism can create a speculative bubble, which often bursts, providing a more favorable entry point for patient investors.
Counter-Trading the Crowd
In response to the surging excitement, Santiment recommends that savvy investors consider “counter-trading” the crowd — a strategy where traders go against the prevailing sentiment. When social media is saturated with optimism, as seen with the recent “$100K BTC” buzz, experienced investors may opt to sell or at least hold off on new purchases.
Conversely, Santiment’s data shows that moments of public doubt often present buying opportunities, allowing traders to capitalize on dips during quieter times in the market. This “counter-trading” mindset is a popular approach among seasoned traders who understand the cyclical nature of Bitcoin’s market sentiment.
What’s Next for Bitcoin?
Following Bitcoin’s surge to $93,000, the asset has slightly retreated and is currently trading around $89,400, a level still up by 3% over the past 24 hours. Meanwhile, the overall crypto market capitalization has soared by 3.15%, currently standing at $2.97 trillion.
While many traders are analyzing support and resistance levels for Bitcoin based on historical patterns, this bull cycle appears different from previous ones, marked by growing institutional FOMO. The institutional appetite for Bitcoin remains robust, with spot Bitcoin ETFs amassing $28.23 billion in assets since launching in January. In the last six days, these funds have accumulated over $4.73 billion in net inflow.
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Bitcoin Skyrockets Above $93K amid Trump’s Crypto Pledge, Potential Pullback Ahead?