Social chatter leaned bullish Wednesday after a speculative report about a potential delay in the expected spot bitcoin ETF launch in the U.S. saw the leading cryptocurrency slide by 5%.
The number of "Buy The Dip" mentions on social media rose to 323, the highest since March 25, 2022, data tracked by blockchain analytics platform Santiment show. The spike happened after bitcoin's price dropped sharply to $41,000 within hours, shaking out excess leverage from the market.
Buy the dip is one of the most famous narratives in the crypto community, indicating an intention to purchase the token when the price drops.
Santiment's Social Trends indicator tracks chatter across Telegram, Reddit, X, and 4Chan to identify keywords or topics that have sparked interest.
While the spike in the number of "buy the dip" mentions suggests bullish crowd sentiment, historically, it has marked deeper price pullbacks.
Throughout the 2021 bull market, spikes in the buy-the-dip calls coincided/were followed by another leg lower in prices. Pullbacks eventually found a floor with the crowd leaning neutral-to-bearish.
Bitcoin traded at $43,200 at press time, representing a 0.8% gain on the day, CoinDesk data shows.
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