Social media discussions around buying the dip in crypto have surged to their highest level since July 2023, as Bitcoin and other major cryptocurrencies face a significant downturn. According to on-chain analytics firm Santiment, social media activity on platforms like X, Reddit, and Telegram between February 25 and 26 revealed heightened trader confidence that this market slump presents a prime buying opportunity.
🤷 Traders are showing a very high level of confidence that this dip is 'the one to buy', according to the spike in discussions across X, Reddit, Telegram, 4Chan, BitcoinTalk, and Farcaster. Ideally, we are waiting for this crowd enthusiasm to die down as a signal that enough… pic.twitter.com/nM99sLw4v3
— Santiment (@santimentfeed) February 28, 2025
Santiment’s data indicates that mentions of dip-buying have reached a seven-month high, fueled by Bitcoin’s plunge below $80,000. The cryptocurrency had already slipped under $90,000 on February 25 following former U.S. President Donald Trump’s announcement of a 25% tariff on Canadian and Mexican imports. Further market uncertainty followed as Trump threatened an additional 10% tariff on Chinese goods, intensifying macroeconomic pressures.
Despite the growing interest in dip-buying, Santiment cautions against immediate optimism. Historically, when retail traders overwhelmingly signal a bullish stance, markets tend to move in the opposite direction. The platform suggests waiting for enthusiasm to subside before considering market entry, stating, “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.”
🤑 The retail crowd was all over the prospects of a dip buy opportunity Wednesday. It is unsurprising that, as a result, prices fell even further Thursday. Look for the crowd becoming disinterested or despondent as a sign that the real dip buy opportunity has arrived. Here, we… https://t.co/m4J4sRJKe1
— Santiment (@santimentfeed) February 28, 2025
Bitcoin has shed over 21% in the last 30 days, with a 5% drop in the past 24 hours, currently trading around $80,400, per CoinMarketCap data. Ether (ETH) has fared worse, plunging more than 30% in the past month and losing 7.54% in the last day, trading at approximately $2,139.
Google Trends data supports this sentiment, with search interest in “buy the dip” peaking at 100 on February 26 before declining to 49. Meanwhile, searches for “crypto” hit their highest level of 100 on February 25 and remain elevated at 87.
Also Read: Bitcoin Needs ‘Real Buyers’ to Break Out: Hedge Funds Are Draining Liquidity, Says VC
As volatility persists, traders are closely watching for signs of market exhaustion before making their next move. Whether this dip is truly an opportunity remains to be seen.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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