Santiment: Retail investor sentiment has turned sharply pessimistic; BTC, ETH, and XRP may be nearing short-term bottom signals.

According to data from Santiment, the crypto market has been under pressure recently, with a significant deterioration in social sentiment towards mainstream assets. Retail investors have adopted a defensive stance as prices continue to fall. Santiment's sentiment monitoring shows that Bitcoin's bullish/bearish ratio has become unusually flat, Ethereum is only slightly positive, and XRP is at its most feared level of the year. Historically, when multiple large-cap assets experience retail investor pessimism simultaneously, it often leads to weak hands exiting the market and the formation of a short-term bottom. On-chain metrics show that Bitcoin's unrealized profit margin (NUP) has fallen to 0.476, approaching the range before several past short-term rallies. The total market capitalization has currently fallen to approximately $3.47 trillion, but institutional allocation intentions remain cautiously bullish. The latest survey shows that 61% of institutions plan to increase their crypto asset exposure before the end of the year. Large holders are also accelerating their accumulation, and ETH exchange reserves have fallen to their lowest level since May 2024, reflecting a medium-term accumulation trend. (CoinDesk)