The cryptocurrency market is experiencing a surge in negative sentiment, leading to a decline in investor confidence. According to data from Santiment, online forums and social media platforms are seeing a significant drop in bullish sentiment, with bearish calls also decreasing, but at a slower pace. This shift in sentiment has resulted in a decrease in the price of Bitcoin and Ethereum, with investors becoming increasingly cautious.

The data reveals a dramatic plunge in bullish calls on online platforms, indicating a loss of faith in the market. While bearish calls have also decreased, the drop in bullish sentiment is more pronounced. This could lead to a domino effect, where investors sell their holdings, driving prices further down. However, the significant drop in bullish calls could also indicate a capitulation event, where investors have exhausted their hope and are forced to sell, potentially leading to a market bottom.

Bitcoin, the largest cryptocurrency by market capitalization, has seen a decline in its price, trading at $61,361.69 at press time. The MVRV ratio, which measures the profitability of holders, has also decreased, indicating that most holders are no longer profitable. Additionally, the Long/Short difference has fallen, suggesting that short-term holders are flooding the market, leading to increased selling pressure.

Ethereum, the second-largest cryptocurrency, is also experiencing a decline in price, trading at $3,432.61. The MVRV ratio and Long/Short difference for Ethereum have also decreased, indicating a decrease in profitable addresses and an increase in short-term holders. The correlation between Bitcoin and Ethereum is high, at 0.86, suggesting that the two tokens are heavily linked.

In conclusion, the cryptocurrency market is experiencing a rise in bearish sentiment, leading to a decline in investor confidence. The decrease in bullish sentiment and increase in selling pressure could lead to further price drops. However, the significant drop in bullish calls could also indicate a capitulation event, potentially leading to a market bottom. Investors are advised to exercise caution and conduct thorough research before making any investment decisions.