Bitcoin Hits 43% Social Media Dominance -- Santiment Says It May Signal a Buying Opportunity
Warning! GuruFocus has detected 9 Warning Signs with MSTR.
That kind of surge in attention, Santiment analyst Brian Quinlivan says, usually reflects rising retail FOMO and historically, that's when Bitcoin has tended to cool off.
We've seen this before, Quinlivan wrote. Big spikes in social dominance often coincide with local tops. Wait for the euphoria to settle, and that's usually your next key entry point.
Indeed, Bitcoin has already pulled back slightly, now trading around $117,000. The same pattern played out earlier this summer on June 11 and July 7, when spikes in social chatter preceded dips.
Still, not everyone's convinced a pullback is imminent. CryptoQuant's Axel Adler Jr said Wednesday that the market hasn't flashed its usual peak signals. And Galaxy Digital's Michael Harvey thinks Bitcoin could simply be taking a breather before another leg higher.
This article first appeared on GuruFocus.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Skift
16 minutes ago
- Skift
American, Alaska, Southwest: Who Came Out on Top?
Hosts Gordon Smith and Jay Shabat discuss the latest earnings reports from major U.S. airlines, focusing on the performance of American Airlines, Southwest Airlines, and Alaska Airlines. They analyze the factors affecting profitability, including operating margins, domestic exposure, labor costs, and market dynamics. The conversation also touches on the upcoming European airline earnings and the competitive landscape in the airline industry. Listen to This Podcast Apple Podcasts | Spotify | YouTube | RSS Takeaways
Forbes
17 minutes ago
- Forbes
‘Nothing Stops This Train'—Fed Dollar Crisis Predicted To Trigger ‘Critical' Bitcoin Price Shock
07/31 update below. This post was originally published on July 30 Bitcoin and crypto prices have soared this year, with the combined crypto market topping $4 trillion amid a Satoshi Nakamoto-era bombshell. Sign up now for CryptoCodex—A free newsletter for the crypto-curious The bitcoin price, up almost double from this time last year, hit an all-time high of $123,000 per bitcoin earlier this month and is braced for an Elon Musk shock after his rocket company SpaceX set alarm bells ringing. Now, as traders bet on a new 'infinite money glitch," legendary billionaire Ray Dalio has recommended a 15% bitcoin or gold portfolio allocation, warning the Federal Reserve has been caught up in debt 'doom loop" and that the dollar is past the 'point of no return.' Sign up now for the free CryptoCodex—A daily five-minute newsletter for traders, investors and the crypto-curious that will get you up to date and keep you ahead of the bitcoin and crypto market bull run 'We are at the at the point of no return because we'll be having more debt,' Dalio, the founder of the world's largest hedge fund Bridgewater Associates, said on The Master Investor Podcast and calling the situation in the U.S., the U.K. and other countries a 'doom loop.' "How do you pay all this debt and all this debt service plus everything else? The only way to do that is for the government to create debt and borrow that money to pay and the central bank printing the money." U.S. debt has skyrocketed in recent years following huge government spending through Covid-era lockdowns, with interest rates that were rapidly hiked to rein in inflation adding to the cost of servicing the ballooning $37 trillion U.S. debt pile. 07/30 update: The Federal Reserve has left interest rates on hold, as the market had expected it would do, though governor Christopher Waller and Fed vice chair for supervision Michelle Bowman voted for a cut, the largest number of dissenting votes by Fed officials in just over three decades. 'If we cut rates too soon, maybe we didn't finish the job with inflation. History is dotted with examples of that,' Fed chair Jerome Powell said during a press conference. 'If you cut too late, then maybe you're doing unnecessary damage to the labor market.' Earlier, data showed the U.S. economy grew at a stronger-than-expected pace in the second quarter as a growing trade balance and renewed consumer optimism propelled GDP to 3% for the three months from April through to the end of June. The bitcoin price and wider crypto market have climbed following the Fed's interest rate decision, with one crypto company executive dismissing interest rate-led market swings as noise. 'Institutions are in a race, for some it's existential, for relevance in the next-gen financial internet,' Johnny Garcia, managing director of institutional growth and capital markets at VeChain, said in emailed comments, adding the "chatter and excitement around the direction of Fed rates is centrally focused on looking for buoy to send crypto prices higher–not about fundamental adoption.' Bitcoin and cryptocurrencies have exploded onto Wall Street and into company's treasuries in recent years, with companies led by Michael Saylor's Strategy and bitcoin exchange-traded funds (ETFs) sucking up around 2.5 million of the 21 million bitcoin that will ever exist. 'Nothing is stopping this train; least of all short-term one-off market-based factors such as the U.S. Federal funds rate," Garcia said. "When markets take into consideration the effect of central bank lending rates, it's through the following perspective lens: current state and the direction of financial conditions and secondly expected economic activity as a result.' Tesla billionaire Elon Musk hit the campaign trail for U.S. president Donald Trump last year, issuing doomsday warnings over the spiraling U.S. debt pile and this year falling out with Trump over his failure to rein in spending. Musk called the dollar 'hopeless" earlier this month, posting to his social media platform X that his new America Party would use bitcoin over so-called fiat currency. Dalio went on to advise investors to allocate at least 15% of their portfolios to gold or bitcoin, going far beyond the 2% bitcoin allocation recommended by BlackRock, which has found phenomenal success with its $85 billion spot bitcoin exchange-traded fund (ETF). '[If] you were optimizing your portfolio for the best return-to-risk ratio, you would have about 15% of your money in gold or bitcoin,' Dalio said, with his comments cheered by those in the bitcoin and crypto world. 'The man has a point,' the X account of crypto asset manager Bitwise posted alongside a chart of U.S. debt shown soaring to around $35 trillion. 'Dalio is merely suggesting putting a small portion of your deposit into time-tested assets, just like major funds do,' Arthur Azizov, founder of B2 Ventures, said in emailed comments. '15% of a portfolio is a rather small share—after all, the remaining 85% can be invested however you like. Both gold and bitcoin are considered safe-haven assets in times of high inflation. Gold needs no introduction as it's a historically protected asset. And bitcoin is often referred to as 'digital gold,' especially given the way regulation is evolving and how banks and governments plan to use it." Sign up now for CryptoCodex—A free, daily newsletter for the crypto-curious Meanwhile, bitcoin price and crypto analysts are predicting this is "critical" time for the market as investors increasingly pour cash into crypto exchange-traded funds (ETFs). 'Bitcoin could quickly reclaim $120,000 and push into price discovery,' Matt Mena, crypto research strategist at 21Shares, said in emailed comments. "The timing is critical. Spot bitcoin ETFs, and now ethereum ETFs, which have seen over $5 billion in flows in the past month and outpaced bitcoin on several days, continue to absorb institutional demand. With regulatory clarity taking shape and a coordinated federal stance now emerging, institutional adoption may accelerate meaningfully.' Mena added he believes the bitcoin price could soar be catapulted as high as $150,000 per bitcoin within the next couple of months if the Trump administration makes a 'strong declaration around the strategic bitcoin reserve' Trump ordered the creation of in March.
Yahoo
20 minutes ago
- Yahoo
Asia Morning Briefing: SEC's In-Kind BTC, ETH ETF Redemption Shift Happened Years Ago in Hong Kong
Good Morning, Asia. Here's what's making news in the markets: Welcome to Asia Morning Briefing, a daily summary of top stories during U.S. hours and an overview of market moves and analysis. For a detailed overview of U.S. markets, see CoinDesk's Crypto Daybook Wednesday in the U.S., the Securities and Exchange Commission announced that investors are now allowed to do in-kind redemptions for bitcoin and ether exchange-traded funds (ETFs). Invest in Gold Priority Gold: Up to $15k in Free Silver + Zero Account Fees on Qualifying Purchase American Hartford Gold: #1 Precious Metals Dealer in the Nation Thor Metals Group: Best Overall Gold IRA The decision lets institutional traders create and redeem ETF shares directly in BTC or ETH, improving efficiency by avoiding fiat conversions. But in Hong Kong, this isn't anything new. In late 2023, during the early days of the regulatory process to bring crypto ETFs to the market (they launched in April 2024), the Securities and Futures Commission – the city's markets regulator – mentioned in a circular that in-kind redemptions would be allowed. Part of the reason why they were allowed was a technical one: ETF issuers were required to partner with licensed local crypto exchanges and use custody solutions. This wasn't the case in Ontario, Canada, which had crypto ETFs first, nor the U.S. In Hong Kong there wasn't the same debate about the status of Ether as a security as there was in the U.S. In contrast, U.S. regulators wrestled with concerns over custody, anti-money laundering risks, and potential market manipulation. While the SEC never explicitly banned in-kind redemptions, ETF sponsors were required to remove them from early filings. The Commission favored a cash-only approach as a cautious first step, citing untested operational processes and uncertainty over how to securely settle large crypto transfers. That stance wasn't without internal pushback. SEC Commissioner Mark Uyeda publicly criticized the agency's approach during the January 2024 approval of spot bitcoin ETFs. He pointed out that commodity-based ETFs, like those backed by gold, routinely use in-kind redemptions and questioned why crypto was being treated differently. Uyeda argued that the SEC failed to explain why it considered cash-only redemptions 'non-novel,' despite the clear deviation from standard ETF practice, and warned that the lack of reasoning set a troubling precedent. The episode highlights how Hong Kong's regulator moved with greater clarity and cohesion from the start as it brought these products to market. By enabling in-kind redemptions early on, and pairing them with strict licensing and custody requirements, the SFC avoided the internal contradictions and policy drift that defined the U.S. rollout. However, there's going to be one side effect from all of this: tracking flows. Crypto data aggregator SoSoValue, which provides daily flow updates for crypto ETFs, warns that "subscriptions of physical bitcoin do not generate cash inflows for the [ETFs], so they cannot be simply counted in daily net inflow statistics." They've tried to create methods and models to work around this, but say they have been unsuccessful so far. So unless ETF issuers in the U.S. publish daily flow in cash and crypto, tracking this metric is going to be an issue. And it's an important one to track, as it shows investor sentiment for the asset class. Market Movements BTC: Bitcoin is trading above $117,500 after a modest rebound, but momentum remains weak as ETF outflows persist, whales take profit near $118K, and macro headwinds, including a firm dollar and hawkish Fed expectations, continue to limit upside. ETH: ETH is trading above $3,700. "Ethereum has proven in parallel with BTC since its inception to be the second most battle-tested network, and very likely institutions now see Ether the token as a formidable asymmetric bet alongside bitcoin," said March Zheng, General Partner of Bizantine Capital, in a note to CoinDesk. Gold: Gold rebounded to $3,334 on Tuesday, snapping a four-day losing streak ahead of the Fed meeting, as traders priced in steady rates despite weak U.S. job data Nikkei 225: Asia-Pacific markets opened mixed as U.S. Commerce Secretary Howard Lutnick confirmed Trump's Friday tariff deadline will proceed as planned, with Japan's Nikkei 225 flat at the open. S&P 500: U.S. stocks closed lower Tuesday, with the S&P 500 ending a six-day record streak, as investors weighed earnings, economic data, and the upcoming Fed rate decision. Elsewhere in Crypto: Tornado Cash Developer Roman Storm Will Not Take the Stand, Lawyers Say (CoinDesk) Cornell Tech Professor Warns AI Agents And Crypto Spell Trouble (Bloomberg) Sen. Lummis introduces bill requiring Fannie Mae and Freddie Mac to consider crypto as an asset for mortgages (The Block) Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
