- Chainlink and Quant’s negative sentiment has gone to rare levels in the market, with the numbers likely signaling an extreme reaction from investors.
- Santiment said that such ‘growing FUD’ in Chainlink and Quant could be an indicator for a price recovery.
- Throughout history, deep bearish sentiments in crypto have preceded upward price movements.
According to data from the blockchain analytics firm Santiment, the recent amount of negative sentiment regarding cryptocurrencies such as Chainlink (LINK) and Quant (QNT) has risen significantly. The platform compiled social media comments and sentiment data.
It concluded that traders and investors have become more pessimistic about the short-term outlook for these tokens.
Chainlink & Quant Experience Decline in Trader Confidence
An informative chart was shared by Santiment through their official Twitter (X) handle. This chart is a reflection of a growing section of the crypto trading community, where the prices of LINK and QNT have fallen steadily over the past three weeks and caused significant frustration among investors.
Santiment has noted that this pessimistic trend is not surprising in a bear phase, but it can sometimes be a contrarian indicator in the crypto market. Price recoveries have often followed sharp increases in negative sentiment, as market dynamics are often opposed to the prevailing orientation of market players.
Why Deep FUD in LINK & QNT Could Precede Recovery
In the charts shared by Santiment, Chainlink is in the midst of its 3rd and 4th periods of 2025. In these periods, negative sentiments have exceeded positive sentiments in online discussions.
Quant has also registered its own sentiment index at its lowest since late March, reflecting traders’ views that its short-term outlook is considerably bearish. Instead of seeing this as a purely bearish signal, the analytics platform suggests that such high levels of doubt and negativity could actually be a precursor to a coming rally.
Since crypto markets are usually volatile and sometimes move in the opposite direction to prevailing market sentiments, changes in sentiment from despair to optimism might lead to a positive reversal in the trends of both LINK and QNT in terms of price.