Will Crypto Recover Soon? Bitcoin, XRP, Ethereum, Hyperliquid, & Solana Analysis!

**Brian** (0:00)
Clearly, there are more, objectively more bearish comments than bullish comments coming out, which is rare for Bitcoin especially.
And because of that, you should actually feel a little bit hopeful that the bottom is near. Doesn't mean it's gonna happen instantly, but usually with this kind of velocity of a price fall combined with very fearful sentiment, it's not long before we see some relief rally.

**Tony Edward** (0:36)
Hey everyone, welcome into The Thinking Crypto Podcast. I'm your host, Tony Edward, and joining me today is Brian from Santiment. And as you all know, we're gonna do a deep dive into the metrics around Bitcoin and altcoins to get an idea of what's happening in the market and what may come next. Brian, great to see you.

**Brian** (0:52)
Good seeing you, Tony. Obviously, we're meeting on a day that Bitcoin's fallen to about a two month low here.
So moods across socials are not so high.

**Tony Edward** (1:03)
Yeah, it's pretty tough out there, Brian, especially you had news yesterday that Michael Saylor strategy sold some Bitcoin, even though it's not a big amount, just the psychological impact is the key.

**Brian** (1:14)
It's the optics, right? It's not so much the amount. 32 Bitcoin is a drop in the bucket compared to what they have accumulated and still hold. But it's enough for people to look at it suspiciously and go, wait, the firm and the individual Saylor that claimed they're never going to sell are now doing the opposite of what they promised.
They've kept up the house of cards, which is crypto in a lot of people's eyes. So now that they're selling, is this the first of many? I think that's the dominant narrative that's starting to form.

**Tony Edward** (1:53)
Sure. So as much as I don't want to look at it, can we look at Sentiment? I'm sure it's pretty bloody and nasty.

**Brian** (2:00)
I mean, if anything, we should be rooting for Sentiment to be low, as strange as it sounds. But as we've talked about many times on our show here, Tony, prices typically move the opposite direction of the crowd's expectations. We'll just start right here, because this represents where the narrative is pouring in right now. The mentions of Saylor or strategy has exploded. Here, I'll make it a little more zoomed out, so we can see just the past 24 hours. Look at this social volume spike on May 31st going into June 1st. It just exploded as the news about his first sale poured in.
It's pretty obvious that the crowd has attributed the reason to this fall being directly correlated to their sale, even though 32 Bitcoin being sold happens multiple times a day. It's just happening from the firm that's not supposed to sell. Therefore, we now have the quote unquote reason for this fall, even though it's always more complex than that.

**Tony Edward** (3:10)
Yeah, that's a great point. This is a narrative, right? And narratives move with, follow the price. So if it's a negative, with the price going down, or positive, with the price going up. And to your point, Saylor just sold a little bit, but it's just this big pivot from him and strategy because they've talked about for years, we're never going to sell, Bitcoin is going to keep going up, and now all of a sudden you have to sell.
And look at the timing of it, it kind of aligned with the charts because the chart was showing some weakness, and this was the catalyst that broke the floor that Bitcoin was holding.

**Brian** (3:47)
Yeah, and I'm not, I'm certainly not going to go after him or defend him.
But I do know that from their explanation, this has more to do with the STRC stock and some specific reasons behind a small amount needing to be sold for the purpose of taxation or dividends. I'm sorry for those who know more than me about it. But I know they gave an explanation. This wasn't just an out of left field cell where they just said, surprise everybody, now we're bearish on crypto.

**Tony Edward** (4:23)
Yeah, so as far as sentiment, is there a lot of fear here pretty much that people are starting to turn on Bitcoin essentially?

**Brian** (4:35)
Yeah, no doubt. We actually just put out a post. I'll just refer directly to what we just put out here because we have two of them about sentiment today.
As you can see, this ratio here, which represents the bullish versus bearish sentiment for Bitcoin, it fell to its lowest point in about two months yesterday, and it's still below this FUD zone line today, right here. So clearly, there are more, objectively more bearish comments than bullish comments coming out, which is rare for Bitcoin especially. And because of that, you should actually feel a little bit hopeful that the bottom is near. Doesn't mean it's going to happen instantly, but usually with this kind of velocity of a price fall, combined with very fearful sentiment, it's not long before we see some relief rally. And how long that relief rally really depends on how much retail then flips back to greed, right? If it's a big relief rally, sometimes you suddenly see, oh, we're all back and we're going back to 100k as the dominant narrative, you don't want to see that either. You want people to kind of remain suspicious, remain fearful, think that Saylor is going to keep on selling, even though there's an argument that that probably won't happen.