Today’s report stating that the company will be using data from behavioral economics research firm MarketPsych Data LLC. This will be working to generate a new type of its MarketPsych indices to paint a perfect picture of market sentiment.
The company will scan over 400 websites connecting to cryptocurrencies to capture market-moving moods and themes according to Reuters. The technique has demonstrated success with traders for traditional asset classes such as forex or commodities. An increasing online industry covering crypto news has appeared over the past year as awareness in Bitcoin and altcoins has risen steeply along with their prices.
Much of it is on social media, for example, Twitter and Reddit and a number of experts have related this activity, along with the number of Google explorations for Bitcoin or an altcoin, with its price action. According to Austin Burkett, Global Head of Quant and Feeds, at Thomson Reuters News and social media are pouring the asset and risk management process more than ever with the ongoing rise of passive and quant-driven exchange.
Bank and hedge fund dealers presently use tools such as Thompson Reuters’ Eikon platform which tracks the prices of a number of cryptocurrencies as well as Bitcoin, Ethereum, Litecoin, Ripple, and Bitcoin Cash. Fascinating the mood swings of volatile crypto markets will be another crucial service and tool the company can offer to its clients.
Bitcoin has improved slightly from the weekend’s low of $8,500 to trade up 12% at just less than $10,000 at the time of writing. It is similarly up until the same percentage from this time last month and is looking at solid gains over the upcoming months.