Google search volume for "Bitcoin" (BTC) reached its highest level in 12 months during the week starting February 1 as the cryptocurrency briefly dropped to $60,000 before recovering to approximately $70,000.
Google Trends data showed a score of 100 for worldwide searches, surpassing the previous peak of 95 during mid-November when Bitcoin fell below $100,000.
The search spike coincided with Bitcoin's steepest one-day decline since the FTX collapse in November 2022. The cryptocurrency fell from roughly $81,500 on February 1 to near $60,000 within five days, triggering over $2.6 billion in position liquidations.
Some analysts interpreted the search activity as evidence of retail interest returning during extreme price volatility.
Market Indicators Conflict
Bitwise Europe head André Dragosch claimed "retail is coming back" based on search trends, while CryptoQuant's Julio Moreno noted the Coinbase premium turned positive "for the first time since mid-January" after Bitcoin reached $60,000.
The Coinbase premium measures price differences between Coinbase and other exchanges, sometimes interpreted as a proxy for US institutional or retail buying.
However, the Alternative.me Crypto Fear & Greed Index dropped to 6 on Saturday, matching levels last seen during the June 2022 Terra/Luna collapse. The index measures market sentiment on a scale from 0 (extreme fear) to 100 (extreme greed).
Readings below 20 indicate widespread panic rather than confident accumulation.
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Contrasting Interpretations
Crypto analyst Ran Neuner stated Friday that "every single metric is telling you that Bitcoin has never been more undervalued on a relative basis."
Such claims appeared during similar extreme fear readings in past cycles, though metrics like search volume historically correlate with price volatility rather than sustained accumulation.
Google search spikes typically occur during major price movements in either direction, not just rallies. The November 2024 search peak coincided with Bitcoin falling below $100,000, while the current spike accompanied the $60,000 drop.
Whether increased search interest translates to actual buying or reflects panic-driven information seeking remains unclear from search data alone.
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