Here’s Why Traders Feel More Bullish on Bitcoin Like Never Before in 16 Months

Bitcoin has experienced a significant price increase of 20% over the past three weeks, drastically altering sentiment among traders. Santiment’s recent analysis reveals a surge in the ratio of positive to negative comments about Bitcoin on social media. It was observed that the bullish sentiment of Bitcoin has reached its highest level since March 2023. This scenario has led the market to speculate on the possibility of Bitcoin reaching new all-time highs.

The price of Bitcoin (BTC) has shown a notable upward trend, pushing from around $50,000 range to nearly $70,000. This rally has coincided with a sharp increase in bullish sentiment. The weighted sentiment on social media has surged 4.7 times above the normal standard deviation.

This elevated bullish sentiment reflects increased confidence among traders and investors. Optimism could fuel further buying pressure, potentially pushing Bitcoin’s price higher. However, while bullish sentiment is generally positive, extreme levels of optimism can sometimes precede market corrections. Traders should remain cautious and consider the potential for volatility in the market.

This bullish trajectory coincides with Donald Trump’s recent talk at Bitcoin 2024, one of the largest cryptocurrency events of the year. Speaking in Nashville, Tennessee, Trump vowed to fire the chairperson of the US Securities and Exchange Commission (SEC) if re-elected. He criticized the current administration’s stance on crypto and declared his support for the industry. Also, he promised to make the US the cryptocurrency capital of the world. His remarks have sparked significant interest and speculation within the crypto community.

During his speech, Trump outlined several ideas for the sector. He has plans to maintain a national Bitcoin stockpile and establish a Bitcoin and crypto presidential advisory council. Notable tech leaders like Elon Musk and the Winklevoss twins have also endorsed his statements. Trump also mentioned that he has received $25 million in crypto donations. It clearly indicates the growing integration of cryptocurrency in political campaigns.

At press time, Bitcoin’s price stood at $69,545, with a 24-hour trading volume of $21,313,660,683. This represents a 2.55% price increase in the previous day and a 2.08% increase over the past seven days. With a circulating supply of 20 million BTC, Bitcoin’s market cap is valued at $1,367,546,163,621.