- Coin Metrics will be adding sentiment data into its platform
- This is expected to help investors make more informed decisions
The cryptocurrency data company Coin Metrics will be incorporating Social Market Analytics’ (SMA) crypto data feed into the market data platform they have.
This would allow users to know more about the virtual currency market and the sentiment in the space. The information was released a few hours ago by The Block.
Coin Metrics Adds Data From Twitter
The cryptocurrency community is very large on Twitter and it is usually a good indicator about the general sentiment of the market. Now, this data could become more valuable thanks to a new data partnership.
By incorporating SMA into its market data platform, it will be possible for users to have sentiment data on different cryptocurrencies.
The CEO of Coin Metrics, Tim Rice, said that the sentiment data makes social media discourse digestible in a quantitative way. This would allow traders, investors and enthusiasts are able to plan their future strategies with more information available. About it, Rice commented:
“We believe that the power of combining sentiment data with granular network and market data is fundamental to building a deeper understanding of crypto assets.”
At the same time, Rice explained that the feed has been built so as to provide order to a very chaotic Twitter feed. With this system, it would be possible to exclude spam tweets and bots. With this service, it is possible to calculate 19 different aggregate sentiment metrics to snapshots of one minute.
Traders are also very interested in platforms that provide different metrics and allow them to perform a complete analysis of the market. Sentiment information from Twitter is also a very important thing for them to analyze and make decisions.
Rice explained that institutions are also looking to make decisions with the available data by accessing sources of data they understand from their legacy investing frameworks. The team behind Coin Metrics believes in the power of combining sentiment data with granular network and market data in order to provide a clear understanding of the crypto space.
Earlier in June, Coin Metrics acquired Bletchley Indexes in order to provide better services to users.