According to web searches, the general population has lost interest in due to the volatile cryptocurrency being silent in recent weeks.
Google Trends is a popular tool for gauging general interest in trending subjects. It currently returns 19 results for the global search query “bitcoin price” over the past five year.
This is the lowest reading since December, and a marked decline from the peak of 85 two months ago. Google Trends gives you access to an unfiltered sample from actual searches made to Google. It scales the search results on a scale of 0 to 100 , according to the company.
Retail interest has declined in the cryptocurrency market, which saw a dull price action of $30,000 to $40,000 for two months.
When price volatility is high or existing, search queries rise. Potential investors look for information about the bullish/bearish market action.
As bitcoin soared from $10,000 to $45,000, Google’s search value jumped from a single digit to more than 60 in the three months leading up to January. In the two months that followed, retail interest declined as bitcoin remained in the $50,000-$60,000 range. As prices fell, retail interest reached new heights in May.
An increase in Google search value doesn’t necessarily mean that there is more buying or selling pressure. Investors often search for information, but do not act. Trades should keep an eye on Google search prices as peak retail interest (FOMO), which is often a sign that the market is nearing a significant top, can be a sign that traders are paying attention to. Record-low retail queries can also be taken to indicate the bottom of the bear market.
Although the search value has fallen significantly since its May peak but is still slightly higher than the average value of about 10 between May 2018-September 2020,
Other social indicators also indicate a decline in mainstream attention. According to Santiment’s weekly research report, Monday’s weekly note from analytics firm Santiment, the seven-day average number of bitcoin mentions on social networks, including Telegram and Reddit, fell to 1445.
In the note, it was stated that daily bitcoin-related mentions are leaning heavily bearish. The cryptocurrency’s relative social dominance has decreased from 80% to 60% in just four weeks. This is a measure of how many daily BTC mentions are compared against other top-cap assets.
Contrarians may see a decline in general interest and a bearish mood as a sign of good times.
Santiment stated that ‘low levels of crowd chatter, and a bearish bias, may work in top coin’s favor. This signals undervalued conditions, and a potential short-term recovery. “While past performance does not necessarily indicate future results, many of bitcoin’s price recovery events in the last two years have been accompanied by a predominant bearish sentiment.”
According to CoinDesk 20 data, bitcoin traded at $31,700 at press time. That’s 3.5% less than the previous day.