Bitcoin Fear And Greed Index Points To A Fearful Sentiment
As per the latest weekly report from , the BTC market sentiment hit a high of 34 last week, but now it has once again fallen to just above extreme fear territory.The “fear and greed” index is an indicator that measures the general sentiment among investors in the Bitcoin market.
Values towards the end of the range of above 75 and below 25 signify sentiments of “extreme greed” and “extreme fear,” respectively.
Historically, tops have tended to form during extreme greed, while bottoms have taken place during the periods with the latter sentiment.The value of the indicator seems to have surged up during recent weeks | Source:As you can see in the above graph, the Bitcoin fear and greed has observed some growth recently and is currently at a value of 26, suggesting a fearful sentiment is gripping the market currently. Preceding this latest improvement in the mentality was a long stretch of extreme fear, the longest in the history of the crypto, in fact. It lasted for 74 days. Last week, the indicator’s value had risen up to even 34 as the coin’s price saw a recovery rally. However, as the run ended and the crypto once again slumped down, so did the sentiment among the investors. The report notes that this trend indicates participants in the BTC (and wider crypto) market believe that this recent rally was just a fakeout. Overall, the sentiment is certainly an improvement over the extreme fear hell of June, but the buyers still remain reluctant.
BTC Price
At the time of writing, Bitcoin’s price floats around $21.3k, down 10% in the last week. Over the past month, the crypto has gained 2% in value.
The below chart shows the trend in the price of the coin over the last five days.Looks like the value of the crypto has gone down over the last few days | Source:
Featured image from Kanchanara on Unsplash.com, charts from TradingView.com, Arcane Research