Bitcoin analysts predict that the bottom is in

Bitcoin crowd sentiment hits multi-month high as BTC price touches $21K...

Bitcoin climbed to a four-month high above $21,000 in the third week of January, fueling traders' hopes. Due to the BTC price rebound, the crypto market is enjoying its highest level of investor optimism since July. Some may be thinking: What does investor sentiment have to do with financial markets? Well, quite a lot! People move markets, and despite what some economic theorists suggest, emotions have a huge role to play in trading decisions. Gauging crowd sentiment is, therefore, a way of keeping a pulse on what people are thinking; sentiment is a very useful tool for traders.  Back to Bitcoin… According to data from a leading crypto analytics firm, the trading crowd sentiment has reached its highest mark in six months and its second-highest bullish sentiment in the past 14 months. The data indicates that traders are treating Bitcoin's price rebound as a signal of a possible bigger breakout in the near future. The chart above shows three significant spikes in investor sentiment since 2021. The first spike in sentiment came in November 2021, followed by the BTC price surge to a new all-time high of $68,789.  The second spike came in July 2022 amid hints from the United States Federal Reserve about possible inflation ease, followed by a minor price surge.  Although the third spike in July 2022 didn't see much price movement due to a marketwide bearish outlook, traders did act on the sentiment by buying the dip at $19,000.  Why is this important? The recent spike in crowd sentiment came after a prolonged winter in 2022. Market analysts believe the BTC price rebound could signify a market bottom. According to an independent market analyst, the time from bottom to top (152 weeks) and top to bottom (52 weeks) has remained constant since 2015. Check out the visuals on Bitcoin's cyclical bull and bear runs by reading the full story here on Cointelegraph. Leverage the same AI technology that Cointelegraph's market analysts use to keep a real-time pulse on investor sentiment with the Tweet Sentiment indicator that's only available on Markets Pro – click here now to learn more.  Regards, Russell DeCorte Director Markets Pro © 2022 COINTELEGRAPH MARKETS PRO COINFIDENTIAL. Copyright © 2023 Cointelegraph Markets Pro, All rights reserved. You are receiving this email because you opted in at our website. Our mailing address is: Cointelegraph Markets Pro 21 W 46th St New York, NY 10036-4119 Add us to your address book Want to change how you receive these emails? You can update your preferences or unsubscribe from this list.