Bitcoin Sentiment Surges

Over the past few days, Bitcoin sentiment has spiked, reaching its highest level in over a year. While this may seem like a bullish sign, analysts warn that this could be a cause for concern.

- According to Santiment, the number of positive comments about Bitcoin on social media has doubled compared to negative comments for the first time in the past year.

- This positive sentiment has fueled the FOMO (fear of missing out) phenomenon, which could cause the cryptocurrency price to spike in the short term.

Santiment said that BTC will start testing its all-time high as market sentiment slows down and FUD (fear, uncertainty, and doubt) emerges. Previously, the market was filled with negative sentiment and predicted that BTC would fall to $40,000-$45,000.

- Data from IntoTheBlock shows that BTC has no strong bullish momentum and investor interest is waning.

- CryptoQuant's Bull-Bear Market Cycle Index has been in a bear phase since August 27, suggesting that BTC is at risk of a further correction in the short term.

The Fear and Greed Index is currently at 32, indicating that investors are still largely in the fear zone. Last week, the index was at 22, indicating extreme fear.

🧐 Market sentiment is currently swinging between positive and negative, but fear still dominates.