The collective voice of retail investors predicts that Bitcoin's price will exceed $90,000 in the near future, potentially turning the year-to-date return positive. However, the market's response to this prediction remains uncertain.
A recent analysis by Santiment, which scanned thousands of social media posts across multiple platforms, reveals a heavily skewed sentiment in favor of Bitcoin's price surpassing $90,000. Mentions of lower price ranges, such as $50,000-$59,000, are being dismissed as fear, uncertainty, and doubt. The crowd's expectations are fueled by the recent recovery from the February low of around $60,000 and the resilience of Bitcoin's price in the face of various global challenges. Despite this bullishness, Santiment advises caution, suggesting that overly optimistic social sentiment can be a contrarian indicator for a potential bearish performance.
This concept is echoed by traditional market contrarian traders, who use sentiment gauges like the AAII Investor Sentiment Survey and the CNN Fear & Greed Index to inform their decisions. Notably, Bitcoin's recovery rally has already experienced a setback, with prices retreating to $77,000 from highs above $79,000 on Monday, leaving the question of whether this is a temporary pause or the start of a broader reversal.