Date of Publication: October 30, 2024.
1. The Importance of Sentiment Analysis
2. The Role of Emotions in Economics
3. The Role of Emotions in Decision-Making
4. History of Sentiment Analysis
6. Limitations of Traditional Indices
7. Advantages of FOMOmeter’s Approach
FOMOmeter is an innovative application that creates technology for tracking the sentiment of cryptocurrency market participants in real-time. By analyzing open sources of social data, it forms a simple and understandable metric that helps users make informed decisions.
The mission of FOMOmeter is to provide market participants with a deep understanding of emotional trends and current sentiment in the cryptocurrency market, contributing to balanced and rational decision-making. Using advanced artificial intelligence (AI) and machine learning (ML) methods, FOMOmeter aims to eliminate information gaps by offering technology grounded in numerous studies conducted by leading institutions such as Princeton University, Harvard Business School, Cambridge University, and the American Economic Association. References to these studies will be provided. The full list of sources is presented at the end of the study.
The approach described in this research can be applied to most financial markets; however, at the moment, FOMOmeter focuses exclusively on analyzing the cryptocurrency market. Despite the fact that this market is more volatile and prone to manipulation, the identified patterns and analysis methods are suitable for different classes of financial assets, providing a deep understanding of market sentiments and their influence on participant behavior.
Previously, access to advanced technologies for deep analysis of market sentiments and behavioral data was a privilege of large institutional investors. FOMOmeter is changing this situation by democratizing access to innovative sentiment analysis tools and making them available to all market participants. Now every investor, regardless of experience and investment volume, can use advanced technologies to gain a deep understanding of the market situation and make informed decisions.
This research shows how market participants’ sentiment is reflected in social networks and influence market movements. Relying on methodologies of traditional and behavioral economics, as well as emotional finance, FOMOmeter applies advanced technological methods to analyze large volumes of data in real-time.