How Social Listening And Machine Learning Are Used To Predict Bitcoin Price Volatility

It doesn’t matter if it’s a worldwide platform or a tiny forum chat; if it connects users over the internet, it’s social media.

On sites like Twitter, users are separated into tiers of opinion authority based on followers and likes.

I will also open a discussion challenging the ethics of new concepts like “emotional data algorithms” and “digital language processing” , as cited by Stockpulse CEO Dr.

I will be examining how “social listening,” celebrity influence and the advent of EDAs can all be used to predict and affect bitcoin price volatility.

The evidence that I found proved otherwise.

However, there are also a great many trusted influencers that have sold out their audiences to pump assets and grow their portfolios.

The opinion of that specific group of viewers is critical to the success of Disney movie producers and the longevity of their careers.

Movie fandoms are just one small example of how social listening has become a high-value area of study.

The results suggest that our quantitative understanding of how influencers can use emotional data to sway public perception of assets like bitcoin is much more advanced than most people realize.

In the era of the Bitcoin revolution, influencers ranging from celebrities to billionaires to politicians have all begun to flex their social clout to shift Bitcoin sentiment in their favor.

Now that you know what social listening is in a general sense, you’re probably wondering how the heck people can make sense of all that data.

Lunar Crush is a social listening and analytics company that allows you to track the social mentions and public perception of Bitcoin in rea -time.

An EDA can crawl through archives of every tweet, post and comment across all of social media, analyzing each for keywords that indicate “bullish” or “bearish” sentiment of a chosen digital asset such as bitcoin.

Whoever molds public sentiment goes deeper than they who enact statutes or pronounce judicial decisions.

These claims of social listening’s newfound importance are backed up when German emotional data intelligence company Stockpulse notes, “While the technologies themselves may not be new, the interest from exchanges and banks is.

The technology to predict and plan for shifts in public sentiment already exists, made readily available using predictive algorithms and data collection.

“In addition to detecting the expert network of social media users for a single stock or industry, an alert system for specific Twitter accounts could be highly relevant,” Naan wrote for Nasdaq.

As such, It would be ideal to program an algorithm to place a buy or sell order precisely when Musk tweets something that contains the keyword “Bitcoin.” If the algorithm indicates bullish sentiment, you buy, and if it indicates bearish sentiment, you sell.

Influencers and brands have become attached to this new, more powerful form of marketing which entices new investors using excitement, hype and memes in concurrence with timed postings.

But it gets more insightful when you realize that spreading these messages is a deliberate attempt to use EDAs to sway public opinion of new emerging technologies like blockchains and Bitcoin.

In other words, they can use emotional data intelligence to target FUD towards those who are most likely to believe it.

The extent to which our data are used and commoditized is still a mystery to most people.

When a bullish event causes a price rise, an epidemic-like spread of hype and attention circulates, which causes the bitcoin price to rise even more.

In simple terms, if someone posts about Bitcoin on social media, in particular on Twitter and Reddit, algorithms can track if that post has in any way caused bitcoin’s price to trend upwards or downwards.

Another framework for understanding this: As bullish news spreads across social media in an epidemic-like fashion, the bitcoin price will rise epidemically, too.

When celebrities post about exciting “investment opportunities,” people begin to flock to the asset because they already hold strong pre-existing positive associations with that celebrity.

An example of this in the Bitcoin arena would be Musk boasting about his love of Bitcoin and tweeting about Tesla’s intentions to invest in the asset.

When Musk tweeted bullish Bitcoin content, such as the news of Tesla buying in or the occasional positive meme, the bitcoin price soared to the moon.

However, governments and private institutions can also use EDAs to influence public opinion for an innumerable amount of other subjects.

It is the idea that if governments don’t treat their citizens fairly then those citizens will, and should, band together to demand a system change.

It’s a fundamental function of the “American dream.” Generally speaking, revolution stems from good intentions.

Widespread messages of these magnitudes, if followed blindly, if left unquestioned and unsourced, are much more akin to propaganda.

On the one hand, politicians, central banks, hedge funds, and the media often use their wealth, power, and influence to make themselves richer and consumers poorer.

The use cases for blockchain technology are next to limitless, potentially fixing countless systemic problems constantly present throughout our lives.

The point is not to assume that everything about emotional data intelligence and celebrity influence must be manipulative or oppressive.

Further implementation of emotional data intelligence and EDAs could lead to a deep centralized control of public opinion and social media sentiment.

…Read the full story