Crypto Buy Dip Hype Reaches 7-month High
Mentions of crypto dip buying on social media have surged to their highest level since July as the recent market downturn pushed Bitcoin below $80,000.
According to Santiment’s social sentiment tracker, discussions among traders on platforms like X, Reddit, and Telegram between February 25 and 26 indicate a “very high level of confidence” that this is “the one to buy”, as noted in a February 28 post on X.
Santiment further stated that this marks the strongest interest in dip-buying in seven months.
Bitcoin fell below $90,000 on February 25, just a day after U.S. President Donald Trump reaffirmed that his planned 25% tariffs on Canada and Mexico would proceed.
The market downturn deepened on February 28, with Bitcoin sliding below $80,000 following Trump’s threat of an additional 10% tariff on China and growing macroeconomic uncertainty.
Santiment's tracker analyzes crypto-focused social media platforms, identifying the top 10 words that have experienced the most significant increase in mentions over the past 14 days.
However, the platform cautioned that heightened dip-buying interest does not necessarily signal an ideal market entry, as market trends often move against crowd expectations.
“Ideally, we are waiting for this crowd enthusiasm to die down as a signal that enough pain has hit retail traders to justify a bounce,” Santiment stated.
“Markets move in the opposite direction of the crowd’s expectations, so look for declining optimism and shrinking levels of buy-the-dip calls as a bullish signal.”
According to Google Trends, search interest in “buy the dip” surged to 100 on February 26, the highest possible score over a one-week timeframe.
However, this interest has since dropped to 49 out of 100.
Searches for “crypto” peaked at 100 on February 25, marking the highest interest level in the past seven days, and currently stand at 87 out of 100.
A score of 100 represents peak popularity for a term, while a score of 0 indicates low search volume, as defined by Google Trends FAQ.
Meanwhile, in a follow-up post, Santiment noted that further price declines are unsurprising, given that the “retail crowd was all over the prospects of a dip buy.”
“Look for the crowd becoming disinterested or despondent as a sign that the real dip buy opportunity has arrived,” Santiment added.
Sources:
https://cointelegraph.com/news/traders-confident-dip-isone-to-buy-santiment
https://x.com/santimentfeed/status/1895282981163671604
https://academy.santiment.net/sanbase/emerging-trends-page/#calculation-methodology
https://coinmarketcap.com/currencies/bitcoin/
https://coinmarketcap.com/currencies/ethereum/
https://x.com/santimentfeed/status/1895307862957551749
https://trends.google.com/trends/explore?date=now%207-d&q=buy%20the%20dip&hl=en