When crypto traders win big, they often use Twitter to share the joy. They tend to do the same thing to tell painful stories of the destruction, discuss promising new plots, or share insights and predictions about what projects might turn out next. Sometimes these waves of social attention can even create positive feedback loops where tokens commanding chatterers see their prices rise for precisely that reason.
The number of tweets related to a particular piece of content can indicate a lot of different things. This month, the five tokens that saw the largest monthly increase in daily tweet volume – Looprings LRC, NuCyphers NU, Enjin Coin (ENJ), ANKR, and The Sandbox (SAND) – also saw some of the highest monthly increases. In and of itself, this isn’t shocking at all, as properties experiencing major protests are grabbing the attention of the Twitter crowd.
It is noteworthy, however, that in all five cases the record-breaking tweet volume peaks were actually not registered. answers high monthly price, however go ahead of them. In other words, the widespread conversation on Twitter around these coins predicts price movements instead of following them. How can traders spot the first signs of this unusual social activity?
Warning from the crowd
If you don’t follow everyone on Crypto Twitter, there are several ways to reliably capture every tweet about a specific asset. Subscribers to Markets Pro, Cointelegraph’s proprietary data intelligence platform, made it easy for themselves: A dedicated dashboard with five assets currently sees an unusually high tweet volume helpful in real time on the control panel.
In addition, Tweet Volume is one of several metrics used to calculate the VORTECS ™ Score, an algorithmic metric that compares past patterns of social and market activity around a digital asset to historical data performance over many years to get the upside prospect of the coin.
In the case of the top Twitter favorites of the month, a look at the raw data from Twitter is enough, because all these coins appear on the Twitter Volume Anomaly Dashboard when their tweet volume hits the top.
LRC / USD: 744.44% increase in tweet volume followed by monthly price change + 350.79%
One of the components of the LRC’s terrible rally this month is the fact that the Layer 2 protocol continues to offer lower transaction fees than its counterparts, which comes in handy in the context of the exorbitant gas fees on the Ethereum network.
After exceeding 3,000, the daily volume of tweets mentioning the project exceeded the monthly average by more than 740% (red circle in graph) on November 3rd as the asset reached its local high of 1.54 US dollars approached. After a brief correction fueled by a wave of social attention, LRC climbed further and broke the US dollar mark six days later.
NU / USD: A 598.87% increase in tweet volume triggered a monthly price change + 179.18%
Nobody knows for sure where NU’s 10x-plus pump came from on October 15th, but it has climbed the coin from around $ 0.30 to over $ 3 in just a few hours. Some Twitter users have credited their listing on the South Korean stock exchange Upbit for the surge, but it’s very likely something else is going on. Chances are, people are just trying to figure out what’s going on.
In any case, the abnormal Twitter volume indicator started flashing just two hours after the rally, with the highest reading just before the high of $ 3.17. Interestingly, the social excitement around NU continued for some time after the harsh price correction that subsided just a day after the price fell by $ 1.20.
ENJ / USD: Tweet volumes up 354.32% with monthly price change + 90.35%
Enjin Coin is one of the beneficiaries of the Metaverse Token War that was sparked by the renaming of Facebook to Meta in late October.
The Twitter discussion surrounding the blockchain gaming platform Enjin peaked at $ 2.51 on October 31 as ENJ cooled off after a parabolic rally. The aforementioned Twitter rush heralds the next phase of action and takes the coin to the next high at $ 3.45.
ANKR / USD: 329.08% Increase in Tweet Volume Supports + 39.51% Monthly Price Change
ANKR saw great performance over the same period that the Metaverse asset shot up, rising from $ 0.081 on Oct 28 to $ 0.139 a week later.
When the price of the token fell slightly for a moment during the spike, the numbers on Twitter were exaggerated, reaching 2,400 daily mentions. After that, the price of the token made another jump to the monthly high of November 3rd.
SAND / USD: Tweet volume up 328.12%, followed by monthly price change +222.12%
Sandbox is another super reverse wonder that has seen its token prices skyrocket after the Facebook / Meta news.
SAND’s healthy social outlook was evident when daily tweet volume tripled above the monthly average, hitting a record high of over 2,600 in 15 hours before peaking at $ 3.38 a year.
True, the unusual number of tweets mentioning a particular asset isn’t a recipe for an upcoming bull run in and of itself. Traders should immerse themselves in the real context of what is going on around the token in order to make an informed decision. However, being warned to pay close attention to certain assets can be extremely helpful in order to focus the analysis on the most likely candidates for another rally.
Cointelegraph is a financial information publisher, not an investment advisor. We do not offer any personalized or personalized investment advice. Cryptocurrencies are volatile investments and carry significant risks, including the risk of total loss and permanent loss. Past performance does not dictate future results. Figures and diagrams are correct at the time of creation or are subject to other regulations. Directly tested strategies are not recommendations. Consult your financial advisor before making any financial decisions.