Markets
Bitcoin Rebounds, Sentiment Peaks as Major Pro-Crypto Moves Emerge
According to data from Santiment, Bitcoin’s recent 20% surge over the past three weeks has reinvigorated bullish sentiment among traders.
This shift in sentiment marks the more positive outlook on Bitcoin (BTC) since March 2023, with the term “Bitcoin” being discussed more favorably on social media than at any time in the last 16 months.
🤑 Bitcoin’s 3-week +20% price rally has left traders much more bullish than they were at the start of the month. The ratio of positive to negative comments towards BTC has reached its highest level since March 2023 as an all-time high has returned to the radar. photo.twitter.com/sDbsAK9qCg
— Santiment (@santimentfeed) July 28, 2024
Santiment’s thoughtful feeling indexwhich measures the ratio of positive to negative comments about X, has risen to a 16-month high. The price rally has seen Bitcoin surpass the $67,000 mark, reflecting a 6.22% increase since July 25, according to data from crypto.news.
The price of Bitcoin hit $69,404 on July 28, its highest level since June 12, although it currently stands at $67,770.
Bitcoin 24-hour price chart from April to July | Source: crypto.news
The bullish turn follows weaker-than-expected inflation data, which suggests the potential for multiple interest rate cuts by the U.S. Federal Reserve this year.
The leading cryptocurrency has risen more than 23% from its local low of $53,550 on July 5, driven by a sharp decline in buying from Bitcoin ETFs investors.
These products continued their impressive streak, with new additions inflows of $534 million in the last week. In particular, BlackRock’s Bitcoin ETF has almost surpassed the $20 billion mark in assets under management.
Adding to the positive sentiment, U.S. Senator Cynthia Lummis introduced a detailed plan for a national strategic Bitcoin reserve.
The announcement, made on July 27 during the Bitcoin 2024 conference in Nashville, came amid rising pro-crypto sentiment. Lummis announced the Bitcoin reserve legislation shortly after President Donald Trump delivered a keynote speech at the event. Trump expressed solid support for the cryptocurrency industry during his speech, announcing the Bitcoin reserve towards the end. Trump’s general approval and Lummis’ policy proposal further supported the market’s optimistic outlook.
In other potentially bullish news from Washington yesterday, reports emerged that Vice President Kamala Harris’s campaign team had reached out to major U.S. cryptocurrency firms in an effort to “reset relationships.”
The confluence of Bitcoin’s rising price, strategic legislative proposals, and high-profile approvals highlights a burgeoning bull market for the cryptocurrency market, setting the stage for potentially significant developments in the near future.