Social sentiment around Bitcoin has reached its lowest point in 2024, indicating a potential recovery above the $100,000 mark for the world’s largest cryptocurrency.
According to Cointelegraph data, Bitcoin’s price has dropped over 10% from its all-time high of over $108,300 recorded on December 17. It is currently trading above $97,150 as of 12:38 pm UTC.
After the 10% correction, social media sentiment surrounding Bitcoin fell to its lowest level of 2024, with an average ratio of four to five positive versus negative comments related to Bitcoin. However, market intelligence platform Santiment suggests that this low retail investor sentiment could actually be a positive sign for an upcoming breakout in Bitcoin. In a December 22 Xpost, Santiment stated, “Vocal traders are now showing severe FUD, and that’s good news for contrarians who know markets move in the opposite direction of retail’s expectations.”
Other crypto analysts also anticipate an end to Bitcoin’s correction below $100,000. On December 20, Bitcoin’s daily chart showed three consecutive red candles for the first time since the first week of November, which coincided with Donald Trump’s US election victory.
Based on price fractal patterns, which are used in crypto trading to identify key support and resistance levels and potential trend reversals based on historical data, Bitcoin may be poised for a recovery before the end of 2024. Popular analyst Elja Boom, in a December 20 Xpost, wrote, “We have seen this before.”
However, historical data suggests that Bitcoin’s correction may last another week. Crypto analyst Rekt Capital shared data in a December 21 Xpost, stating, “In 2017, Week 7 as well as Weeks 8 and 9 were also corrective. In 2021, Week 6 and Week 8 were corrective. Bitcoin is currently in Week 7 and slowly transitioning into Week 8.”
Despite the ongoing correction, Bitcoin’s price trajectory shows optimistic signs for 2025. Crypto services provider Matrixport believes that improving macroeconomic conditions and easing global monetary policy could push Bitcoin’s price above $160,000 before the end of next year.