Santiment Reports Shift in Social Media Attention from Memecoins to Bitcoin
The analytics firm Santiment reported a recent shift in social media traders' focus from Dogecoin and other memecoins to Bitcoin.
Decline in Social Dominance of Memecoins
Santiment's analysis, shared on X, highlights changes in cryptocurrency market sentiment amid a bearish downturn. The key metric is Social Dominance, which tracks the percentage of social media discussions related to the top 100 cryptocurrencies by market cap.
This indicator counts unique posts mentioning an asset rather than the total number of mentions, providing a clearer view of market trends without being skewed by outlier posts.
The analysis focuses on two groups: the Layer 1 Top 6 (largest blockchains like Bitcoin) and the Memecoin Top 6 (including Dogecoin). Below is a chart illustrating the trend in Social Dominance for these two categories over recent weeks:
The graph indicates that the Social Dominance of the Memecoin Top 6 was high recently, suggesting significant interest in tokens like Dogecoin and Shiba Inu. However, this metric has declined, indicating a shift in attention towards Bitcoin and other layer 1 assets, which have seen increased social dominance.
Past trends suggest that when memecoins capture market attention, it often signals investor greed. Consequently, the current shift towards Bitcoin may reflect growing investor caution, potentially leading to further declines in the sector. However, this change in sentiment could also indicate a potential market bottom.
DOGE Price
Currently, Dogecoin is priced at approximately $0.31, representing a decline of over 24% in the past week.
