Bitrabo Editorial
Data reveals that Cardano is currently experiencing a more positive sentiment than leading cryptocurrencies like Bitcoin and XRP.
Cardano’s Sentiment Reaches its Peak in 2024
According to insights from analytics company Santiment, the sentiment surrounding cryptocurrencies has improved as Bitcoin and other cryptocurrencies have rebounded.
The key measure here is the “Weighted Sentiment,” derived from two metrics: Sentiment Balance and Social Volume. Sentiment Balance gauges the overall sentiment about an asset on major social media platforms by analyzing posts through a machine-learning model to determine positivity or negativity, providing a net sentiment on social media.
However, this metric may not represent the sentiment of the majority since it reflects the views of those who engaged in discussions. The Weighted Sentiment also considers Social Volume, tracking the total number of posts discussing a particular coin.
By weighing Sentiment Balance against Social Volume, the Weighted Sentiment only fluctuates significantly when there is a high net sentiment combined with active user participation in discussions.
Here is a chart illustrating the trend in Weighted Sentiment for the top five cryptocurrencies – Bitcoin (BTC), Ethereum (ETH), BNB (BNB), XRP (XRP), and Cardano (ADA), over recent months:
The chart shows an uplift in sentiment surrounding these top cryptocurrencies. Cardano, in particular, has seen a surge in Weighted Sentiment following the recent market recovery.
At present, ADA shows an indicator value of 1.69, while ETH, the second most positively discussed cryptocurrency on social media, sits around 0.80.
Despite the positive sentiment indicating strong confidence in ADA despite a challenging year, excessive hype has historically been bearish. Consequently, assets like Cardano and Ethereum, experiencing significant bullish sentiment, may not be primed for further growth. Bitcoin and XRP, with moderately positive Weighted Sentiment levels, could potentially benefit from this.
ADA Price Update
Over the last 24 hours, Cardano has seen an increase of more than 4%, pushing its price to $0.344.