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Short-Term Sentiment

Definition

Short-term sentiment describes the prevailing mood or outlook of market participants over a brief period. In digital asset markets, this is influenced by recent news, social media trends, technical analysis indicators, and immediate price movements. It often drives rapid trading decisions and contributes to market volatility. Short-term sentiment can shift quickly, leading to sudden price swings in cryptocurrencies and other digital assets. It reflects immediate reactions to current market conditions.