Crowd sentiment toward XRP and Shiba Inu has reached a yearly low amid the ongoing market correction, suggesting an opportune time to buy the dips.
The bearish sentiment in the crypto market intensified over the past few hours, with Bitcoin falling further to revisit $64K before settling back in the $65K range. While Bitcoin only dropped by approximately 4% from its intraday high, altcoins like SHIB have bled more significantly.
In particular, the meme coin market has plummeted by 11.3%, wiping out approximately $6 billion due to Bitcoin’s correction. This double-digit percentage loss is reflected in the market values of Shiba Inu, Dogecoin (DOGE), and PEPE.
Shiba Inu, XRP See Lowest Positive Mention of 2024
Following this fresh round of dips, positive crowd sentiment for Shiba Inu and Dogecoin hit their lowest levels of the year. Santiment, a market intelligence platform renowned for its on-chain and social metrics, called attention to this latest outcome in an update on X.
The report also noted that the heightened negative sentiment transcends meme coins. Notably, XRP, the seventh-largest crypto asset, is experiencing similar negativity. Specifically, Santiment has observed that positive mentions of XRP, DOGE, and SHIB are now at a 2024 low following price declines.
? Crowd sentiment has dropped significantly for XRP, Dogecoin, and Shiba Inu after their respective price drops. Patient traders who have been waiting for the crowd to give up on these large cap altcoins may finally have their buy opportunity with FOMO at a 2024 low. pic.twitter.com/Pf65huJJnd
— Santiment (@santimentfeed) June 17, 2024
Good time to Load SHIB and XRP
Meanwhile, the extremely negative crowd sentiment surrounding these large-cap altcoins has been recognized as a potential bullish indicator. Santiment emphasized that patient investors who have been waiting for the market to lose interest in Shiba Inu and XRP may now have a prime buying opportunity.
Previous Negative Crowd Sentiment Led to Historic Surge
Notably, this metric has proven reliable in recent times. For instance, on Feb. 5, Santiment disclosed the emergence of negative crowd sentiment toward large-cap crypto.
This happened as Bitcoin continued consolidating at lower-than-expected prices in the $43k range, even after Bitcoin spot ETF approvals. This trend contradicted the uptrend that began in the last quarter of 2023.
At that time, Santiment noted that XRP, Cardano (ADA), and Solana (SOL) were all experiencing more negative crowd sentiment than their historical averages, marking the first occurrence in over six months.
Indeed, precisely a month later, Bitcoin reached a new all-time high of $73,650. In parallel, altcoins like Shiba Inu and DOGE achieved new market highs not seen since 2021.
Essentially, while the ongoing dip hurts traders who bought XRP and SHIB at higher prices, the current metric suggests a potential rebound that may reward those buying the dip today.
