Crypto Market Sentiment Drops; Only Bitcoin & Ethereum in Positive Zone
With the second week of December came a drop in the market sentiment. The combined moving 7-day average crypto market sentiment score (sentscore) for the top 9 coins by market capitalization fell from 5.94 to 5.45 over the past seven days – relatively far from the positive zone border around which it lingered for weeks, according to data recorded by crypto market sentiment analysis service Omenics.
It is important to note that, for the previous three weeks we had been observing only 9 out of the top 10 coins, as we could not include bitcoin cash (BCH) given the sentscore of 0 which followed the latest hard fork. This week, we finally have the full list again. BCH is no longer on it, however, leaving the Omenics’ 36-coin-long list entirely. Polkadot (DOT) is the newest entrant to the top 10 list. Including the newest member into the calculation, the combined sentscore for the top 10 coins is now 5.46.
Looking at the top 10, there isn’t a single coin whose sentscore has increased in the past week. Binance coin (BNB) took the hardest hit by far, dropping 22%. Chainlink (LINK) with 13.1% and DOT with 12.2%, take the distant second and third spots, respectively.
Speaking of the top 2 coins, now that cardano (ADA) fell into the neutral zone, they are the only ones left in the positive zone. Unlike one last week, three coins now have scores below 5: USDT, chainlink (LINK), and BNB, with the last one now being closest to the negative zone among the top 10.
Sentiment change among the top 10 coins*:
Interpreting the sentscore’s scale:
– 0 to 2.5: very negative
– 2 to 3.9: somewhat negative zone
– 4 to 5.9: neutral zone
– 6 to 7.49: somewhat positive zone
– 7.5 to 10: very positive
Looking at the combined sentscore in the last 24 hours, we find a somewhat better situation compared to the 7-day timeframe, even if the score is barely changed compared to last Monday’s 24-hour one (5.7). It is now 5.64 with the full count of 10 coins, instead of 9 as it was last week. All but two coins – XRP and USDT – are green today, with polkadot leading the pack with its nearly 12% sentscore increase. Litecoin (LTC) and stellar (XML) with their 6.1% and 4.3% rises, respectively, are somewhere in the middle of this range, while the least to go up is ETH (1.2%).
Daily Bitcoin sentscore change in the past month:
Now observing the other 26 coins on Omenics’ list, we see most of them dropping in the last week. Only compound (COMP) and monero (XMR) are up, while synthetix (SNX) (6.1), AAVE (6), and NANO (6) are in the positive zone. Meanwhile, there are some coins in the negative zone this time around as well, namely OMG network (OMG) and ontology (ONT).
* – Methodology:
Omenics measures the market sentiment by calculating the sentscore, which aggregates the sentiment from news, social media, technical analysis, viral trends, and coin fundamentals-based upon their proprietary algorithms.
As their website explains, “Omenics aggregates trending news articles and viral social media posts into an all-in-one data platform, where you can also analyze content sentiment,” later adding, “Omenics combines the 2 sentiment indicators from news and social media with 3 additional verticals for technical analysis, coin fundamentals, and buzz, resulting in the sentscore which reports a general outlook for each coin.” For now, they are rating 36 cryptocurrencies.