When is the Right Time to Buy the Crypto Dip?

The crypto market has taken a beating, dropping more than 20% since the start of the year. Right now in February, the community is split: some think we’re finally hitting a local bottom, while others are convinced this bear market is just getting started.With the market swinging wildly and everyone on edge, the big question is: when do you actually pull the trigger and buy?

According to Santiment, your first real clue comes from “blood in the streets” social sentiment. By filtering out the noise and looking at the ratio of bearish vs. bullish talk, traders can spot the exact moments when fear is paralyzing the crowd.

We have seen it before: sharp spikes in FUD and total doom posting are almost always followed by a relief rally.

" When Bitcoin bottomed at $60,001 last Thursday, the asset surged 19% in less than 24 hours right after the FUD peaked,” the report noted. “When the negativity gets this loud, it’s usually because prices are cratering fast. Usually, once people start predicting the end of crypto, that’s your signal to buy."

Another heavy hitter to watch is the Crypto Fear and Greed Index. It’s currently deep in “Extreme Fear” with a reading of 11.

Historically, when the index hits these basement levels, the market is usually oversold making it a prime spot for a play.

You also want to track how often people mention “buying the dip.” While these mentions jump during a sell off, Santiment warns that this alone isn’t enough. Often, the market bounces before retail traders even realize the opportunity.

A much better signal is when its shifts from “dip” to “crash.” When the talk turns catastrophic, it means people are finally desperate and that’s usually when the bottom is in.

Santiment also points to “death spiral” keywords like “selling” “down” or “going to zero”. These start trending exactly when retail confidence completely breaks.

But don’t just watch social media, watch the money. Tracking whale activity the big players holding 10 to 10,000 BTC is a must. On chain data shows these “sharks” often go on a buying spree while retail investors are panic selling. When the big money accumulates and the small money flees, you have got the recipe for a real trend reversal.

Look, at the end of the day, your entry point depends on your own strategy and. These signals aren’t a crystal ball, and plenty of analysts think this bear market still has room to bleed.

Don’t let FOMO or panic drive you. Base your moves on your own risk tolerance and what you are willing to lose if the recovery takes longer than expected.

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