Retail traders are rushing to "buy the dip" after a mild Bitcoin pullback, with Santiment data revealing that one in every 398 crypto-related social media comments now references dip buying—one of the highest levels in recent weeks. Historically, such sentiment spikes have been followed by short-term retraces and additional downside, as traders often enter too early before true bottoming conditions form.
Behind the scenes, on-chain analytics from CryptoQuant show experienced investors are quietly accumulating BTC, indicated by steady exchange outflows and strong stablecoin inflows. This suggests underlying conviction despite external shocks like the 155% U.S. tariff hike, which has tightened global liquidity but had minimal impact on Bitcoin due to Japan's small share of global supply and insignificant policy influence.
Kevin Rusher, founder of RAAC, commented that the recent crypto rebound is driven more by short-term expectations, such as anticipated Fed rate cuts, rather than a structural shift in sentiment. He noted that while risk assets are rallying, gold remains a safe-haven cornerstone, and the best Bitcoin buying opportunities typically emerge when fear dominates, not during retail FOMO episodes.