What sentiment scores don’t tell you about TRON, Litecoin, and EOS

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Anyone’s guess is as good as it gets when it comes to analysing cryptocurrency movement in a highly bullish/bearish market because gauging the length of recovery/corrections is incredibly tough. While the overall market is now in decline, a few altcoins have recently seen high sentiment scores.

Tron, in fact, led last week’s sentiment charts with a score of 39 among the top five, according to a report shared with AMBCrypto by Sentifi.com. TRX was followed by EOS and Litecoin, which were ranked 2nd and 3rd, respectively, with a score of 33.

While the high sentiment scores are fine, we’ll dig deeper into the market to see if these assets helped the market move in the right direction during the last week.

Tron, EOS, and Litecoin: an unusual trio?

ByBit finally launched spot trading pairs for EOS, which was the biggest breaking news for the asset right away. This update’s relevance is obvious, but it was the most significant. There were no developments on the development front for Litecoin, while the trend was a little different for Tron.

Tron's (TRX) Daily Transaction Count Has Grown by 522% in One Year 17

Source: Tron

Tron’s network reached a new all-time high in daily transactions last week. Tronscan.org data revealed that the network had processed 9,278,050 transactions in a one day.

See also  Bitcoin, Ethereum, Litecoin Price Movement Analysis for 8th August, 2021 

On a long-term basis, the daily transaction count was found to have increased by 522 percent year over year. As a result, in terms of Tron, the development side still makes sense.

Source: Sanbase

When looking at on-chain measures instead, it’s apparent as day that all three assets’ volumes are a long way from their former highs in 2021. When looking at the daily price charts, the same perspective emerges. At the time of publication, Tron was plummeting towards its February valuation, and EOS was following suit. Finally, Litecoin appeared to be on the verge of erasing all of its gains from 2021.

Source: Trading View

So, where is the navigation?

Without taking away too much credibility, where credit is due, Tron and EOS definitely have registered higher development activities over the past few days. Litecoin, on the contrary, has failed to deliver these levels, relative to the other aforementioned assets.

Source: Sanbase

What inference can be made then?

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Well, the point remains that sentiment is a subjective index and it can only be properly analyzed when other metrics are taken into context. Right now, TRON and EOS do somehow justify their top ranks in terms of sentiment, but the case cannot be made for Litecoin.

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