What are the Factors that Can Affect Crypto Market Sentiment?

[Suba]

Market sentiment is the attitude/perception of market players that psychologically and emotionally will drive crypto transactions, both selling/buying, so that it will affect price movements. Market sentiment is also one of the factors that causes crypto prices to fluctuate. Market sentiment will be influenced by various factors such as: global news, exchange hacks, regulatory changes, USD increases/decreases, crypto purchases/sales by whales, mass adoption, blockchain technology trends, etc.

 

[riberet19]

News about regulation of the crypto space, geopolitics, news about the crypto world in general, for example that an exchange has collapsed, as we have seen in the past, important people talking badly about crypto, and many other things can impact negative crypto sentiment, just as it can positively impact, that there are favorable regulations, that famous people speak well of the crypto world, positive crypto adoption news, etc...

 

[magnus2022]

A good example is Trump's effect. Cryptocurrency especially bitcoin surges during United States presidential election immediately Trump start leading the election, bitcoin start going up. Politics is one of the major factorthat affect market fluctuations.