Sentiment is a huge driving factor in cryptocurrency adoption.  However, sentiment analysis is very difficult. It is hard to measure metrics. Sentiments are not only based on use case and price, rather several other factors like myths and realities also influence cryptocurrency investor and developer sentiments too.

Cryptocurrency predictions are mostly done on the basis of sentiment analysis. Tweets are important tools to understand the sentiments of investors towards a particular token.    The popularity index of a token can be assessed from a data pipeline derived from a source related to tweets of a token, mapping the context, and using neuro-linguistic programming techniques in the process to derive the ultimate sentiment for the token after passing it through an aggregator.

The name of the token considers the mention of the cryptocurrency.  The sentiment scores are calculated for the token types by category.  The overall positive and negative sentiments are thus assessed.

Sydney Ifergan, the crypto expert, tweeted:  “The mood on the social media is not the right idea for sentiment analysis or cryptocurrency price predications.  The attitude of people changes very quickly, many times immediately after they post a tweet. Approximation – yes.”

Several posts from cryptocurrency beginners are mixed and confused sentiments.  Several mixed, confused, and short-term beginners hang on to tweeting, and they are not see ever after. Many simply do not have the persistence to hang on.

Cryptocurrency Sentiment Analysis during CoVid-19

Cryptocurrency Sentiment Analysis during CoVid-19 spans across institutional sentiments, beginner sentiments, prospective sentiment, and those who are worried about the ROI. There are too many variables influencing the sentiments of investors during an untrained situation like we are going through now.

The sentiments are false, true, partly true, and partly false. Some feel this is the right time to buy in the dips.  Some are seeing the current scenario as a transformational opportunity for cryptocurrency to creep into mass adoption.  Some successful and well-established companies were not able to make it to anything. Despite being an established brand to influence the people’s attitude, they were not able to change the attitude on how payments can be made.

Some sentiments are driven by events, some by profits, yet others by frustration relating to losses and some due to lack of progress.  There is a drastic difference between short-term and long-term sentiments.  Investor emotion is event and panic-driven lot of FOMO. Despite all, bitcoin has succeeded in being resilient and stays where it is ready to create a transformation in the cryptocurrency space.