Quick take:
- Crypto traders and investors have been expecting Bitcoin to dip to $16k or even $14k
- Bitcoin’s social volume continues to be high
- The Fear and Greed Index is at 95 for a second time in a week
- However, on-chain fundamentals continue to be strong and a dip might have to wait
Bitcoin’s weekly close is once again only a few hours away and many BTC traders have been left scratching their heads as to whether the King of Crypto will undergo a correction to $16k or $14k before the next leg up. At the time of writing, Bitcoin (BTC) has reclaimed the $19k price level and trading at $19,164.
Bitcoin’s Social Volume Continues to be High
According to data from the team at Santiment feed, social volume with respect to Bitcoin (BTC) is still high with euphoria yet to show any signs of dropping. The team at Santiment shared their observations via the following statement and accompanying chart.
According to the social volume and positive/negative commentary ratio of #Bitcoin on #Twitter, it does appear that the euphoria has died down a bit as market prices came up just short of $20k on previous attempts. But still more optimism than $BTC‘s normal resting average.
Bitcoin’s Greed and Fear Index at 95
A quick glance at the Fear and Greed index reveals that it has reached a record of 95 for a second time this week. The Fear and Greed index was also at 95 on December 1st and as Bitcoin posted a 2-year high of $19,880 – Binance rate.
Bitcoin’s Dip is Currently a Waiting Game
Bitcoin’s high social volume and Greed index naturally point towards a correction for BTC. However, and according to Bitcoin analyst Willy Woo, there are no bearish signals hinting of a dip. Therefore, bears might have to wait a bit longer as explained below by Mr. Woo
Bitcoin on-chain structure saying to bulls “thou shall not pass”, not without a reset. A reset means many weeks of sideways or a decent bearish dip. Will we get a dip? There’s no impulse of coin movements that’s strongly bearish just yet. Waiting game.
