Will Bitcoin Make an Exception This Time: There Is Great Potential According to Historical Data! - Koin Bulletin

According to Santiment data, the decrease in Bitcoin's social dominance has historically resulted in price increases, but it is important to remember that this movement is not always long-term.

According to data reported by Santiment, changes in Bitcoin's social dominance provide important clues for price movements. As analysts have pointed out, Bitcoin's intensive discussion on social media and in the general public, is usually coincided with price peaks. This situation was evaluated as a result of the FOMO (Fear of Missing Out) effect among investors.

However, what is more notable is that it occurs when social dominance declines to lower levels. The social dominance of Bitcoin is currently at 14.88%, indicating that public attention is shifting to different market narratives. Historical data suggests that such periods can pave the way for upward movements in Bitcoin price.

However, experts have warned that this model does not always guarantee a long-term increase. Price increases following a decline in social dominance are usually short-term (1-2 weeks) and sometimes indicate the final stages of a Bitcoin rally.

For example, the exceptional volatility experienced in February 2024 demonstrated that this model is not always valid.

As a result, it was emphasized that investors should evaluate this type of data in line with their own strategies and risk tolerances. This quiet period in the Bitcoin market could open the door to a potential price movement, but careful analysis and strategic decisions are more important than ever.