Recent data indicates a decline in optimism among Bitcoin traders. However, there is a belief that this drop in sentiment could serve as a starting point for future growth.
Market Sentiment Hits Record Lows
According to analytics platform Santiment, negative comments on social media have begun to outnumber positive ones with a ratio of 1.03 to 1. "This is typically a bullish sign," stated the analytics firm.
Bitcoin Price Stability
Currently, Bitcoin's price hovers around $104,800, showing minimal reaction to the Federal Reserve's news. Over the past 24 hours, the asset lost only 0.3%, but has experienced a 2.8% decline over the past week, slightly worse than the broader crypto market.
Fundamental Indicators Remain Strong
Despite current uncertainties, the fundamentals remain supportive. Fidelity reported that the ancient, long-unmoved Bitcoin supply continues to grow faster than new issuance, indicating strong holder conviction. Additionally, institutional interest remains high with inflows of $1.4 billion over the past week.
Despite current market pessimism and potential risks, fundamental indicators support an optimistic outlook for Bitcoin's future.
