Cryptocurrency Market Analysis

Crypto Sentiment Analysis

For the past several weeks, we’ve been interacting with the Ethos community to gather sentiment data around the cryptocurrency sector. On some level, crypto assets are driven by sentiment and the perception of value more so than virtually any other commodity in the world. So we thought we would gather data signals from our community about their sentiment of specific cryptocurrencies, as well as their perception about the industry in general.

We want to gratefully thank everyone who participated in these surveys, and encourage people to continue to respond.

Methodology

This survey was conducted with a sample size of approximately 2000 respondents queried weekly. They were asked simple questions such as “Do you think Bitcoin will go up and down?” in a simple survey format. While the survey was anonymous, many respondents chose to share email, and participation was limited by IP address to once per week. The respondents were primary “hardcore” crypto enthusiasts.

Bitcoin Sentiment

Sentiment took a dip at the end of March, then steadily grew through April plateauing post tax day. Basically the respondents collectively seemed to sense that Bitcoin would pop after taxes were filed.

Source: Ethos.io

Note that the percentage of respondents who believed Bitcoin would go down dropped from 17.5% during the last week of March to 4.1% after April 15th (tax day)

It’s interesting to compare this against actual Bitcoin price performance, and the correlation with price gains around the end of March preceding the post April 15th bump.

Actual Bitcoin Price Performance. Source: World Coin Index.

Ethereum Sentiment

Ethereum sentiment unsurprisingly correlated very closely to Bitcoin price sentiment, with tiny bit more pessimism at the end. In this case, the amount of people who thought Ethereum would go down in price fell from a peak of 18% to 4.6% after April 15th. (Notably close but slightly higher than the 4.1% compared to Bitcoin)

Source: Ethos.io

Ethereum price performance again mostly correlated sentiment.

Ripple Sentiment

Interestingly, sentiment regarding Ripple was uniformly more negative. Meaning — the majority still correctly predicted Ripple’s price increase (along with the whole market rise), but a larger percentage disagreed with the majority in believing Ripple would go down in price — a peak of 31.4% declining to 21.6% after April 15th.

Source: Ethos.io

This is despite the fact that Ripple basically correlated to Bitcoin’s performance.

Source: World Coin Index

Litecoin Sentiment

Litecoin was similar to Ripple, but had a downtrend in negative sentiment towards the end of April. Litecoin had a very strong “sentiment recovery” during this time.

Source: Ethos.io

Again, the Litecoin trend mirrors the other coins almost exactly.

Source: World Coin Index

Bitcoin Cash

Just asking for sentiment data around Bitcoin Cash was in itself controversial, as some respondents objected to the very existence of the question. Given the strong passions involved, it was not surprising to see sharper sentiment trends, as well as the strongest negative sentiment of the coins. This was the only coin that almost had “crossed streams” of negative sentiment overlapping with positive sentiment.

Also World Coin Index doesn’t seem to have Bitcoin Cash charts 🙂

Source: Coinmarketcap.com

Crypto Enthusiasm

Participants were asked to rank their enthusiasm for the sector from 1 to 10. Enthusiasm was dampened by the drop in prices, but stayed between a fairly narrow range of 9.1 to 8.86. In other words, the volatility didn’t seem to phase anybody very much.

Source: Ethos.io

Investment Plan

Participants were asked if they planned to Invest More into Crypto, Stand Pat eg HODL or Cash Out, meaning transfer crypto assets to fiat. Even though these respondents are hard-core crypto enthuiasts, it was stunning to see that virtually nobody planned to cash out (or at least wanted to say they would)

Source: Ethos.io

In a similar vein, respondents were asked if they were Satisified or Dissatisifed with the crypto industry in general. There was more of a noticeable uptick with prices, which was unsurpising.

Source: Ethos.io

Crypto Scams

Respondents were asked whether they were seeing more serious projects or scams. With the ICO gold rush and various clear scams, the market has clearly gotten more sensitive to out-and-out scams. However, according to the respondents, there has been a noticeable uptick in quality over the last 30 days.

Source: Ethos.io

Crypto and the Traditional Financial Ecosystem

Finally, respondents were asked if they thought the tradtional financial system would push back or partake in crypto. Again over the past 30 days there has been a noticable gain in confidence that the crypto will integrate into the traditional system in some form or fashion.

The fact that these data signals are coming from serious crypto enthusiasts needs to be factored in. There may be some degree of wishful thinking or “right answer” for the individual positions respondents might have. However, even with that factored in, this data offers a glimpse of the power of the crowd, and how crypto communities can collectively be smarter than the individual.

Ethos will keep these surveys going! If you’d like to join the list, please visit https://www.ethos.io/sign-up/ and sign up for Ethos News & Updates.

Once again, thank you to all participants.


Shingo Lavine - Founder & CEO

An Open Letter to the Community From Shingo Lavine

This is an open letter to all who have been involved in our project thus far. I want to sincerely thank each and every one of you for being a part of our community - your support and enthusiasm has really made this project a reality. The community we have all built together is really unlike any other in the crypto space, and will be compelling to newcomers as our project expands and grows. We have come a long way since the inception of this project and the release of this article marks a big day for us.

 

 

The cryptocurrency market is scary and bewildering, especially to new users. Just the other day I had a conversation with someone who knew what Bitcoin was, but was largely unfamiliar with the cryptocurrency industry. The first question she asked was “Is Bitcoin Illegal?”

While this question may seem surprising to those of us who interact with digital currencies on a daily basis, that question is indicative of what outsiders see in this industry. They see Bitcoin as a tool for criminals, and cryptocurrencies as unsafe and dangerous to interact with. If people are going to put their money into something, they don’t want to worry that it may disappear.

In my article “Building a Better Story” (https://medium.com/@shingolavine/building-a-better-story-a611cb09fccd) I talked about a big problem that the crypto industry as a whole faces. For better or for worse, Bitcoin has been the face of the crypto industry which means we get all the benefits of a widely recognized brand, but also all the baggage that comes along with it. This presents a very challenging, but exciting, opportunity for us. A platform for mass adoption needs to be accessible, friendly and safe.

Enter Ethos.

Making Crypto Accessible to All

We all know there is something big happening right now. Even more exciting is that we are at the ground floor of a huge shift that will define how the world looks and operates for generations to come. Yet, a majority of people are still unaware or mystified by the hotbed of innovation that is happening in the crypto industry right now. A huge part of our mission is opening up the possibilities of crypto technology to the wider world and helping consumers, businesses and developers interact with these new tools to build a brighter future.

Core Ethos Values: Security, Safety, Trust, Knowledge & Community

 

It is very important for brands to stand for something. At the core of Ethos, we believe that some of these values are:

 

  • Security: It is absolutely imperative that Security permeates everything we do.  The cryptocurrency ecosystem is riddled with scams and hackers, making it extremely risky and daunting to new users. By building Ethos from the ground-up to be super-secure and consumer-controlled, we will inspire confidence in the user and build a trusted brand.
  • Safety: While similar to Security, Safety is about making sure users can avoid mistakes and interact in a secure environment. For example, if you send money to the wrong address or forget a private key, that money can be gone forever. While we can’t eliminate all of the safety issues in crypto, we can build a smart service that tilts the odds in favor of consumer protection.
  • Trust: Ethos was built on the trust that early token participants had in our vision and our capacity to build a platform for mass adoption. As we grow, users will show even more trust by using our products. We will need to trust (and verify) our users.  Operating in a transparent and ethical fashion will build that trust. Part of this is implementing cutting edge anti-money laundering (AML) and “Know Your Customer” (KYC) technology in the right parts of the solution, and inspiring confidence - and trust - in consumers, businesses, developers and regulators.
  • Knowledge: Our founder, team and community are deeply knowledgeable in the cryptocurrency market. We understand the relative technical strength of various cryptocurrency offerings, economics, finance, fundamentals and risk profiles. We hope to foster financial literacy both inside and out of the blockchain industry. By sharing knowledge widely and empowering experts to teach newbies, we empower people - regardless of whether they use the Ethos platform or not.  Education, learning and knowledge sharing is core to the Ethos brand.
  • Community: Community is at the core of Ethos, and can continue to be a strength as we grow.  By having brand advocates, people who believe in our mission and want to be part of it, we multiply the power and reach of Ethos thousands of times over. We are all working towards the same mission and share in the success of the Ethos vision. Every person who joins our community makes us stronger and shows the world that cryptocurrency is real and here to stay.

 

 

A New Beginning

We are excited to embark on this journey.  We anticipate many challenges, but also many rewards for Ethos and our community. To read more about our products and services, visit Ethos.io or read our whitepaper.

Thank you for reading, and we hope you join us in our mission to make the world a better place with the power and freedom of cryptocurrency.

https://upscri.be/27f3c1/