Now, a research group has identified a bizarre indicator of investor sentiment that seems to predict Bitcoin's price action, and it shows that the BTC may soon enter its "mass hysteria" phase.
Use of the term "Lambo"Shows Bitcoin May Soon Enter Investor Hysteria
Bitcoin has been caught in a strong uptrend for the past six weeks, which has rekindled investor sentiment and rekindled hopes that the markets may soon see new momentum.
This growing hope can quickly become a hysteria, which is elucidated by looking at the data relating to the use of the term "Lambo"On Reddit.
ChartStar, a data-driven trading site, spoke of the close correlation between investor use of the term "Lambo"And" Lamborghini "and Bitcoin price action, providing a graph showing the striking correlation observed throughout 2017 and 2018.
Looking at the graph below, it now appears that the use of these terms is becoming parabolic, which could signal that investors are about to enter the "mass hysteria" phase which has led Bitcoin to a trend. massive bullish.
Google Trends data further confirms this notion
As recently reported by CryptoSlate, Google Trend data also seems to suggest that a flood of retail investors may be about to spill over into the markets.
While examining the search volume on Google linked to a few important key phrases, it becomes clear that the 2020 cryptocurrency rally has generated interest in the markets, with searches for phrases like "buy Bitcoin" and "Bitcoin Reduce by halfThe two have exploded in recent weeks.
Since retail investors are an integral part of Bitcoin and the crypto markets, it is imperative that their current interest in the markets becomes more of a frenzy than just a tempered interest so that BTC can see its next parabolic move.
Graphics by CryptoCompare
Posted in: Bitcoin, Analysis, Price monitoring
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