Solana (SOL) has continued its recent bullish wave during the last 24 hours with a surge of 4%, but the trend in this social media-related metric could be to watch out for.
Traders May Have Become Too Hyped Around Solana On Social Media Recently
According to data from the analytics firm , the positive sentiment around SOL on social media has shot up to a nine-month high following the latest bullish momentum that the coin has seen.
The indicator of relevance here is the “Positive Vs. Negative Sentiment,” which, as its name suggests, keeps track of the ratio between the amount of positive and negative comments related to Solana that are appearing on social media. This metric works by analyzing the posts/threads/messages on various social media platforms (X, Reddit, Telegram, 4Chan, and BitcoinTalk) and running them through a machine-learning model to determine which ones relate to positive sentiment and which ones relate to negative sentiment.
When the indicator has a value greater than 1, it means the number of positive posts are outweighing the negative ones right now. On the other hand, it being under the mark implies the dominance of bearish comments.
Now, here is a chart that shows the trend in the Positive Vs. Negative Sentiment for Solana over the last few months:
The value of the metric appears to have seen a sharp spike in recent days | Source:
As displayed in the above graph, the Solana Positive Vs. Negative Sentiment has registered a large spike as the latest recovery in the asset’s price has taken place. With this spike, the indicator has reached a value of more than 5.6, which means social media users are making over 5.6 times as many bullish posts as bearish ones.
This is the highest that the metric has been in around nine months, so the traders are clearly quite optimistic about the current SOL rally. While some bullish moods can be conducive to rallies, an excess of them can actually prove to be an obstacle.
Historically, cryptocurrencies like Solana have tended to show moves that are opposite to what the crowd is expecting. The probability of a contrary move rises the more sure the traders become of a direction, so a highly bullish market can lead to tops in the price.
This effect is also visible in the chart, as some past spikes in the Positive Vs. Negative Sentiment had occurred around local tops in Solana’s value. So far, SOL has only continued to rally further despite the investor FOMO, but considering the historical pattern, it’s possible a top may be hit before long, should hype on social media maintain at high levels.
SOL Price
Solana has continued its latest run with a 4% surge over the past day, which has taken its price above the $153 level.
Looks like the price of the coin has been going up over the last few days | Source:
Featured image from Shutterstock.com, Santiment.net, chart from TradingView.com
Keshav is currently a senior writer at NewsBTC and has been attached to the website since June 14, 2021.
Read more
Keshav has been writing for many years, first as a hobbyist and later as a freelancer. He has experience working in a variety of niches, even fiction at one point, but the cryptocurrency industry has been the longest he has been attached to.
In terms of official educational qualifications, Keshav holds a bachelor’s degree in Physics from one of the premier institutes of India, the University of Delhi (DU). He started the degree with an aim of eventually making a career in Physics, but the onset of COVID led to a shift in plans. The virus meant that the college classes had to be delivered in the online-mode and with it came free time for him to explore other passions.
Initially only seeking to make some beer money, Keshav unexpectedly landed clients offering real projects, after which there was no looking back. Writing was something he had always enjoyed and to be able to do it for a living was like a dream come true.
Keshav completed his Physics degree in 2022 and has been focusing on his writing career since, but that doesn’t mean his passion for Physics has ended. He eventually plans to re-enter university to obtain a masters degree in the same field, but perhaps only to satiate his own interest rather than for using it as a means to find employment..
Keshav has found blockchain and its concepts fascinating ever since he started going down the rabbit-hole back in 2020. On-chain analysis in particular has been something he likes to research more about, which is why his NewsBTC pieces tend to involve it in some form.
Being of the science background, Keshav likes if concepts are clear and consistent, so he generally explains the indicators he talks about in a bit of detail so that the readers can perhaps come out having understood and learnt something new.
As for hobbies, Keshav is super into football, anime, and videogames. He enjoys football not only as a watcher, but also as a player. For games, Keshav generally tends towards enjoying singleplayer adventures, with EA FC (formerly FIFA) being the only online game he is active in. Though, perhaps due to being ultra-focused on the game, he is today a semi-pro on the EA FC scene, regularly participating in tournaments and sometimes even taking back prize money.
Because of his enthusiasm for anime and games, he also self-learned Japanese along the way to consume some of the untranslated gems out there. The skill didn’t merely remain as just a hobby, either, as he put it to productive use during his exploration for small-time gigs at the start of COVID, fulfilling a couple of Japanese-to-English translation jobs.
Keshav is also big into fitness, with agility and acceleration-related workouts making a big part of his program due to the relevance they have in football. On top of that, he also has a more traditional strength based program for the gym, which he does to maintain an overall fitness level of his body.
Close
Disclaimer: The information found on NewsBTC is for educational purposes
only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any
investments and naturally investing carries risks. You are advised to conduct your own
research before making any investment decisions. Use information provided on this website
entirely at your own risk.
