TechFlow News: On January 31, according to CoinDesk, on-chain analytics platform Santiment reported that the proportion of panic-driven discussions about Bitcoin on social media has risen to its highest level since 2026, while market sentiment indicators have dropped to their lowest point since November last year—shifting the overall atmosphere from cautious to overtly panicked.
The analysis notes that if macro-level market volatility persists—or if Bitcoin fails to reclaim key price levels watched by traders—panic sentiment may continue for several more days, and short-term price action could remain volatile. The broader market is currently in a risk-off phase: after prior gains, both equities and precious metals have seen pullbacks, and cross-market liquidity contraction alongside cooling leveraged capital may continue weighing on crypto market performance. However, sharp deteriorations in sentiment often coincide with stage-specific “capitulation-style” sell-offs; under pressure, retail investors tend to exit positions, while long-term capital typically accumulates at lower prices. Should Bitcoin’s price gradually stabilize, current pessimism could reverse rapidly, spurring renewed buying interest.
