Hello fellow Steemers and crypto investors,
Yesterday I published a post about Bitcoin's new ATH on Google Trends. This morning, I came across yet another pleasant surprise related to this:
An article by Jim Edwards at Businessinsider.com confirms the strong correlation between Google searches and Bitcoin's price.
I'm sharing it with the Steemit comunity here together with my post from yesterday. Hope you enjoy the good news after all the China FUD lately!
AMAZING! New Bitcoin ATH even after China rumors and shut down of exchanges. Find out where
Bitcoin has hit a new ATH! No, I’m not talking about a price ATH, this one is on Google Trends worldwide.
Amazingly, against all odds, after all the FUD, the China rumors and banning of exchanges the Bitcoin train is just unstoppable.
This means people worldwide are searching for Bitcoin online more than ever, even if it’s about negative news sometimes.
Like this quote by Oscar Wilde says: There is only one thing in life worse than being talked about, and that is not being talked about.
Something that also surprised me was comparing Bitcoin with the next two altcoins by market cap in Google Trends, Ethereum and Litecoin. Not only does Bitcoin have an amazing lead in this comparison, Ethereum and Litecoin searches have been falling dramatically:
Bitcoin vs Ethereum vs Litecoin (searches in the last 12 months)
The price of bitcoin has a 91% correlation with Google searches for bitcoin
Jim Edwards at Businessinsider.com
The current price of bitcoin has a 91% correlation with the volume of Google search requests for bitcoin-related terms, according to a study by SEMrush, a search engine marketing agency.
The study drew from a database of 120 million US keyword searches linked to the cryptocurrency. The overall search volume of bitcoin-related keywords is estimated to be 51.4 million requests over a period of a year. It showed that the price of bitcoin in US dollars rose and fell largely in tandem with the number of search requests for terms like "bitcoin," "bitcoin price," and "bitcoin value."
At one level, the study merely confirms the obvious: As bitcoin becomes more expensive, and thus more exciting, more people search online to find out how it is doing. On the other hand, it is nice to see statistics confirm your hunches. While the study looked at the correlation between searches and prices, it did not — sadly — say whether searches predicted or trailed the bitcoin/dollar exchange rate.
Bitcoin searches have gone up 450% since April 2017, SEMrush says. The data in the sample is about a week old.
Since June 2017, online searches for the price of Ethereum, another digital cryptocurrency, have almost equaled bitcoin searches, SEMrush says. Here is the bitcoin chart:
Image source: http://www.businessinsider.com
Bitcoin grew from about $1,076 on April 1 to a peak of nearly $4,764 at the beginning of September before falling back to $3,972 at the time of writing.
Turns out they only pissed off this Honey Badger!
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