Bitcoin traders are always trying to get a feel for the market based on anything and everything from technical analysis to reading comments on a news article to get an overall sentiment of the current trend.
A new indicator for BTC just went semi-viral. It’s based on bullish and bearish tweets from CNBC’s Fast Money, using them to chart price action. Based on crypto trends, the show features some market analysis and expert opinions. Jacob Canfield, a trader/investor, built an indicator that tests whether or not CNBC is a good “contraindictor.” He tested the tweets from CNBC and used his data to predict the next price movement:
“After back testing what I like to call the ‘CNBC Bitcoin 4.90% Indicator,’ it is giving us a clear buy signal in this new range.
This shows that CNBC is a good indicator to go against, rather than follow. He then says:
This is some surprising news. CNBC may just be a pretty accurate contraindicator to use in order to predict the next movement. Canfield also says that the next rally is on the way. And it’ll be a major one.
After his chart was posted on Twitter, he racked up plenty of attention. Later, CNBC posted a tweet that read “This tweet is neither bullish nor bearish.” This could be in an effort to trip up Canfield.
— CNBC's Fast Money (@CNBCFastMoney) August 22, 2018
BTC has spiked rising to a high of $6,882 from $6,459 according to WorldCoinIndex.
Been in the game for 2 years but I still consider myself a rookie. There’s way too much info out there for anyone to comprehend, so I try to get only the best news on cryptoculture and new currency that’s coming out in the world of Bitcoin and cryptocurrency. I’m here to share my thoughts on what could be the answers to many of the world’s financial issues. Contact me with tips!
Disclaimer: Our authors may hold active positions in one or multiple cryptocurrencies discussed on this news portal. Opinions expressed at AWSMO are NOT investment advice and any investment in one or more cryptocurrencies may be high-risk and extremely volatile. Please due your due diligence before making any investments in any cryptocurrency. Your investments are your own risk and you assume full responsibility for your actions.