Bitcoin's bullish-to-bearish sentiment ratio has dropped to its lowest level on record, according to Santiment, after a Coldcard hardware wallet exploit left investors with losses topping $70 million. The drawdown stems from self-custody concerns rather than a market crash, and the fear now exceeds what Santiment recorded during several of crypto's biggest historical events.
Bitcoin's social sentiment has fallen to its lowest level ever recorded within a 24-hour period, after a Coldcard firmware exploit left holders with losses of over $70 million. The breach hit Coldcard, a widely trusted hardware wallet, and left investors wary of self-custody, long viewed as the safest way to protect Bitcoin holdings.
Santiment data shows that every bullish comment about Bitcoin now draws up to 1.72 bearish comments. That pushes the bullish-to-bearish ratio down to just 0.58, the lowest reading Santiment has tracked across X, Reddit, Telegram and other platforms since it began monitoring the conversation.
Drawdowns in the metric are often driven by fear tied to a failing exchange or a broader market crash, but that is not the case this time. Instead, the bearish shift traces back to worries over self-custody, which explains why sentiment moved so fast.
Santiment said the current wave of negative sentiment is stronger than the fear seen during major geopolitical tensions earlier this year. It added that the panic triggered by the exploit also exceeds the social reaction recorded during several of crypto's biggest historical events, though the reading is based on a single day's data and marks the most bearish sentiment the firm has ever recorded for Bitcoin.
The exploit has affected the confidence of most Bitcoin holders. As a result, it has reignited the debate over whether even hardware wallets can be fully trusted.
Source: U.Today – IT, AI and Fintech Daily News for You Today
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