Topic: Bitcoin Price Depends more on Silent Majority? Do you agree with this? (Read 194 times)

These silly techniques in social media are 2013! For example it says that they "analyzed 344,000 BitcoinBit forum posts and 3.4 million tweeters", so lets take a stage where bitcointalk and twitter are filled with posts saying "bitcoin is dead" and the fool is saying "the price will drop to $ 1000". I'm saying that they "do not" rely on the fact that nobody gives a damn about them but science says you can not prove or measure their effectiveness.

the study is very interesting but i can't help thinking that the study is flawed. not saying the effects are more  but rather the study itself. there simply isn't any way of measuring the effects of a comment on a social media platform on bitcoin price.
for example it says they "analyzed 344,000 Bitcointalk forum posts and 3.4 million tweets", so lets take a dropping phase where bitcointalk and twitter are filled with posts saying "bitcoin is dead" and idiots who are saying "price will fall to $1000". obviously they don't affect anything but how do you determine that? i am saying they "don't" based on the fact that nobody gives a damn about them but scientifically speaking you can not prove or measure their effect.

I believe bitcoins price depends on the demand condition. It’s a normal economic equation if demand rise then price will also rise. Bitcoind demand is high that’s why bitcoins price also high.

I agree with you. There are fewer big players in the market. The silent majority is a large army of people. If they start to buy or sell, this, of course, has a very strong impact on the market.

I think it depends on the bigger players who start a movement then the silent majority will continue afterwards. If whales start to sell, everyone else will dump. If they buy lots of bitcoin, everyone else thinks it will pump and buy some too

Thank you for the explanation.  It really helps the ones who are interested in Learning about Bitcoins. Am interested in Learning about bitcoin and Crypto trading, So I think this forum would be a great resource for me.

That's an interesting article. It says that the louder the investors are, the lesser the influence they have. The silence majority has more influence in the market.

Rather than packing people should have more knowledge on bitcoin. Howver, I hope that Facebook withdrawing crypto ban can work good in the market.

This market will raise again based on this people of this market are expecting this good news also yes its true I agree with you also when many people withdraw their money it affect on price based on this we need to increase more investors.

maybe someday in the past they had some significant effect but like anything else when you overuse the same thing a million times it will lose its effect. these bullshitting techniques in the social media is so 2013! these days majority of people know what they hell is going on when someone is spreading some bullshit online. and it doesn't matter if it is negative (FUD) or positive (hype) in both cases they will be ignored.

these old see through techniques may still work in the altcoin market though.

There are many investors who have sold out all of their coins as the price went low and they start panicking and this also affected the price negatively. However, I heard Facebook have unveiled their bans from crypto ads. SO, that's a good news. I hope this will affect the market positively.

 

The louder they are, the less influence they have. This seems to be the conclusion drawn by Feng Mai, a researcher at the New Jersey-based Stevens Institute of Technology, after conducting a study investigating the influence of social media on the bitcoin price.

According to Mai the comments and tweets of social media users considered highly active were found to have an insignificant impact on the bitcoin price. However, the infrequent users of social media were found to have a bigger impact on the bitcoin price, sometimes moving the needle by up to ten times more after they posted comments deemed to be positive.

“Interestingly, social media’s effects on bitcoin are driven primarily by the silent majority, the 95 percent of users who are less active and whose contributions amount to less than 40 percent of total messages,” reads a portion of the research paper’s abstract.


‘No Agenda’ Equals More Trust

Per Mai, this was attributable to the fact that the silent majority were considered more trustworthy by social media users because of the perception that they did not have an agenda.

To conduct the study the Stevens Institute of Technology researcher, who is also a professor at the Stevens School of Business, analyzed 344,000 Bitcointalk forum posts and 3.4 million tweets. Mai collaborated with a team that was drawn from Ivey Business School, Dickinson College and the University of Cincinnati in analyzing the posts that spanned a period of 24 months. Tweets were collected for a period of two months.

Though not exhaustively concluded, a study that had been conducted in 2015 had also hinted at the fact that the silent majority have more influence than the vocal social media influencers.

The Silent Majority Speak
“To leverage the effects of social influence on bitcoin markets, investors should actively follow the most influential people in a social network to collect market information much more efficiently. However, the power of the silent majority should not be ignored, as we show that their sentiments can be the more important metric in predicting the movement of future prices,” concluded a research paper titled, “From Bitcoin to Big Coin: The Impacts of Social Media on Bitcoin Performance,” written by the Stevens Institute of Technology researcher, among others.

At the time, the research paper also pointed out that forum posts and tweets moved the bitcoin price differently. The impact of tweets was usually noted within an hour while for forum posts, it could take up to a day to see a reaction in the market.

This was explained by the fact that investors could respond to tweets at an intraday level, ensuring that the market reaction was more instantaneous. With forum posts, however, the discussions were more thorough with the result being that market reactions were most notable at the daily level.

https://www.ccn.com/bitcoin-price-depends-more-on-silent-majority-than-twitter-thought-leaders-research/

I know that most of the businesses were using social medias like Facebook, Twitter, Instagram and etc. to promote the nature of their business and get their name out to the public. Does this really effect the value of bitcoin? Since there are lots of company doing this kind of marketing and only few of them succeeded when it comes to getting their name out, do you think bitcoin's price really depends on those silent majorities that are active in social medias?

My stand in here is that, the key players that really affect the price of bitcoin are the hodlers and emotional investors. I know that there are newcomers in the crypto sphere trying to join the hype but I think those new investors doesn't really invest huge amounts of money to something that they lack knowledge about.

What are your thoughts about this?