The latest decrease in the BTC price chart put the coin in the $60K zone, but some metrics show it can rebound and even set new ATHs. The social sentiment about Bitcoin isn’t showing fear yet, but it can continue with other metrics and result in even more buys.
“Buy the dip” is the strategy in the market that comes into action in these situations. When the price of cryptocurrencies declines considerably, some experts and many of the mainstream users suggest others buy the token that is now cheap. But is the current price of Bitcoin a real dip?
Man factors are responsible for the trends of the BTC/USD chart. Bitcoin has been in a good position above $60K in the past few days, and many people were waiting for new ATHs after the $68K record of last week. But the price started to decline sharply today, and BTC is currently traded at about $60.7K.
According to the latest analysis by Santiment, an important social metric is trending around Bitcoin. #buythedip is the term many people use when Bitcoin or other cryptocurrencies show a downtrend. The analysis says:
📉 The #dip down to $60.6k is the lowest #Bitcoin has been valued in nine days. The -7% slide in the past 24 hours has been met with rising interest from traders to #buythedip. Typically, a bit of crowd fear will be necessary to have prices fully rebound. https://t.co/l6zTl09D8E pic.twitter.com/2Ghd6XpWYP
— Santiment (@santimentfeed) November 16, 2021
“The #dip down to $60.6k is the lowest #Bitcoin has been valued in nine days. The -7% slide in the past 24 hours has been met with rising interest from traders to #buythedip. Typically, a bit of crowd fear will be necessary to have prices fully rebound.”
Buying the dip is often a great idea for earning more in the financial markets. But finding the real dip isn’t easy for all traders.
Anyhow, the current stats of Bitcoin isn’t confident enough to consider the price a dip before strong uptrends.
It still needs some activity from the market to rebound from the current price. As the Santiment analyst says, a bit of crowd fear is needed.
Looking at the history of the “Buy the Dip” social volume, we see a rising in this metric doesn’t necessarily result in price jumps. As you can see, in early November, the metric jumped considerably after Bitcoin dumped from the $68K ATH.
But that jump didn’t result in a price rebound for BTC, and the downtrend continued. Maybe the current state of jump in the “Buy the Dip” metric may result in price rebounds, but it surely isn’t enough.
The history shows that the “Buy the dip” metric should continue for some days to help the price rebound. In October, it has been some days that people were talking seriously about buying Bitcoin at the dip. It resulted in an uptrend that moved BTC from $57.8K to an all-time high of $68K.