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Data shows that social media sentiment around Dogecoin and Solana has seen a significant improvement following the market shift.
Social media is now bullish on Dogecoin, Solana and Cardano
in a new mail In X, the analysis firm Santiment has analyzed what sentiment traders currently have on social networks towards the main assets in the cryptocurrency sector. The relevant metric here is “Positive/Negative Sentiment”, which, as the name suggests, tells us how the bullish and bearish sentiments related to a given asset compare across major social media platforms.
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This indicator works by placing the posts/comments/messages present on the platforms through a machine learning model to separate between positive and negative. The ratio of these counts is then taken to calculate the net situation around the coin. When Positive/Negative Sentiment has a value greater than zero, it means that bullish posts outweigh negative ones. On the other hand, being below the mark implies that investors as a whole share negative sentiment.
Now, here is a chart showing the trend in the indicator of six major coins: Bitcoin (BTC), Ethereum (ETH), XRP (XRP), Dogecoin (DOGE), Solana (SOL) and Cardano (ADA):
As shown in the chart above, positive/negative sentiment has seen an increase for Solana, Dogecoin, and Cardano recently, suggesting that sentiment around the assets has improved. Of these, traders are the most positive towards SOL, with their bullish comments being approximately six times more than their bearish ones. The metric has a value of around 3 for ADA and 2 for DOGE.
The improved sentiment towards Dogecoin and others came after a sector-wide price rally. Interestingly, while the bullish wave has made investors more optimistic about these coins, it has not done so in the case of Bitcoin, Ethereum and XRP, the top three cryptocurrencies by market cap.
The indicator is close to the zero neutral level for these assets, which implies that there are as many positive as negative publications. However, this fact may not be bad for BTC and the cryptocurrency market.
Related Reading: Analyst Says Bitcoin Fun Will Start When This Change Happens
Historically, digital assets have tended to show movements in a direction opposite to most expectations. This means that an overly bullish crowd can lead to highs, while an extremely bearish one can result in lows.
Therefore, the hype around Dogecoin, Solana and Cardano may act to the detriment of their prices, while Bitcoin, Ethereum and XRP could have bullish room to run before reaching a high.
DOGE Price
At the time of writing, Dogecoin is trading around $0.352, up more than 2% over the past week.
Dall-E Featured Image, Santiment.net, TradingView.com Chart
