Bitcoin Investors Again Show Extreme Fear As BTC Slips To $59,000

Data shows the Bitcoin market sentiment has taken to extreme fear again as the asset’s price has seen a retrace to the $59,000 mark. Bitcoin Fear & Greed Index Suggests Market Now Extremely Fearful The “Fear & Greed Index” is an indicator created by Alternative that tells us about the average sentiment that’s currently present in the Bitcoin and wider cryptocurrency markets. The index uses the following five factors to determine the sentiment: volatility, trading volume, social media sentiment, market cap dominance, and Google Trends. It then represents this estimation using a scale that runs from 0-100 Related Reading: Bitcoin Makes Sharp Recovery, But Watch Out For Resistance At $64,000 All values of the indicator beyond the 53 mark imply that investors are showing greed, while those below 47 suggest the presence of fear in the market. The region between these two cutoffs naturally corresponds to a neutral mentality. Besides these three territories, there are also two special sentiments called the extreme fear and the extreme greed. The former of these occurs at 25 and below, while the latter at 75 and above. Now, here is what the latest value of the Bitcoin Fear & Greed Index looks like: As is visible above, the indicator has a value of 25 at the moment, meaning that the market is just inside the extreme fear zone. This is a pretty significant change from how the metric was just yesterday. The below chart shows the trend in the Bitcoin Fear & Greed Index over the past month. From the graph, it’s apparent that the Fear & Greed Index had been at a high level near the end of July, but during the bearish momentum that had followed in the BTC price, the metric’s value had also gone through a notable drop. On the 29th, the index was at a value of 74, meaning it was right on the edge of extreme greed, but by the 6th of this month, it had gone into the extreme fear zone with a value of 17. The asset’s recent recovery did lead to an improvement to the sentiment, with the index traveling back up to 48. It would appear, though, that this growth couldn’t last, as the sentiment has again declined into extreme fear, as the BTC price has seen a retrace. Related Reading: Bitcoin NVT Golden Cross Gives Bottom Signal: What Happened Last 2 Times The fact that the sentiment has worsened, however, may not actually be a bad sign for the cryptocurrency. Historically, Bitcoin has tended to move against the expectations of the majority, and the extreme regions are where this expectation is perhaps the strongest. As such, tops and bottoms have tended to form whenever the market has been inside these zones. With the Fear & Greed Index now back inside extreme fear, It’s possible that a bottom could be likely to take place. It now remains to be seen if the asset’s decline ends with this drop, or if there is more to come. BTC Price Bitcoin appears to already be showing signs of a rebound as its price has climbed back up to $59,700 from its low of under $58,000 earlier in the day. Featured image from Dall-E, Alternative.me, chart from TradingView.com

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Bitcoin Extreme Greed Is Almost Here: Price Bottom Now Close?

Data shows the Bitcoin sentiment is close to entering into the extreme greed zone. Here’s what this could mean for the cryptocurrency’s price. Bitcoin Fear & Greed Index Has Continued To Decline Recently The “Fear & Greed Index” is an indicator developed by Alternative that tells us about the average sentiment that traders in the Bitcoin and wider cryptocurrency market currently share. The index uses five factors to determine this sentiment: volatility, trading volume, social media, market cap dominance, and Google Trends. The metric uses a numeric scale that runs from zero to hundred for representing the mentality. Related Reading: Social Media Screams Sell As Bitcoin Crashes To $54,000: Buy Signal? All values of the indicator above the 53 mark suggest the presence of greed among the investors, while those below 47 imply the dominance of fear. The region in between these two thresholds correlates to a neutral sentiment. Now, here is what the Bitcoin Fear & Greed Index is looking like right now: As is visible above, Bitcoin Fear & Greed currently has a value of 28, meaning that the average investor is showing fear. The degree of fearfulness must also be quite notable, as this current value is pretty deep into the territory. In fact, the latest level of the indicator is quite close to a special region called the “extreme fear.” Investors display extreme fear when the index goes under 25. There is also a similar zone for the greed side as well, which is known as “extreme greed” and occurs above 75. During the first half of last month, the metric had been in or close to the latter region, but the recent downturn in the market has sharply degraded the sentiment to the other end of the spectrum. Historically, Bitcoin and other cryptocurrencies have tended to show moves opposite to what the majority are expecting. The stronger the crowd’s expectation gets, the higher the probability of such a contrary move becomes. Related Reading: Is Bitcoin Undervalued Now? Industry Expert Decodes The Market State The extreme sentiments are where the traders are leaning towards one direction too much. As such, major tops and bottoms in the asset have usually formed when the index has been in these zones. Because of this fact, some traders prefer to buy when investors are showing extreme fear and sell during extreme greed. This trading philosophy is popularly called “contrarian investing.” Warren Buffet’s famous quote sums up the idea, “be fearful when others are greedy, and greedy when others are fearful.” As the Bitcoin Fear & Greed index is approaching the extreme fear territory, it’s possible that the cryptocurrency could once again show profitable entry points soon, if the past is anything to go by. BTC Price Bitcoin has so far been unable to make too much recovery from its recent crash, as its price is still trading around $56,700. Featured image from Dall-E, Alternative.me, chart from TradingView.com

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Bitcoin Traders Sink Into Fear As Price Crashes Below $58,000

Data shows that Bitcoin traders’ sentiment has declined into ‘fear’ after the price crash the cryptocurrency has seen during the past 24 hours. Bitcoin Fear & Greed Index Is Now Suggesting A Fearful Market The “Fear & Greed Index” is an indicator created by Alternative that tells us about the average sentiment currently held by [...]

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Bitcoin Investors Beware: Extreme Greed Has Returned In Crypto

Data shows that cryptocurrency investors’ sentiment has surged to extreme greed recently, a sign that may not be ideal for Bitcoin. Bitcoin Fear & Greed Index Is In The Extreme Greed Territory Right Now The “Fear & Greed Index” is an indicator created by Alternative that keeps track of the average sentiment present among the traders in the Bitcoin and wider cryptocurrency market. The index represents this sentiment as a number between zero and 100. To calculate the score, the metric takes into account five factors: volatility, trading volume, social media sentiment, market cap dominance, and Google Trends. Related Reading: Shiba Inu, Cardano Seeing Explosive Whale Activity, Santiment Reveals When the Fear & Greed Index has a value greater than 54, the investors are greedy. On the other hand, values under 46 imply that the market is fearful currently. The region between these two cutoffs signifies the territory of a neutral mentality. In addition to these three core sentiments, the index has two special zones: “extreme greed” and “extreme fear.” The former occurs when the metric surpasses 75, while the latter occurs at levels under 25. Now, here is what the sentiment in the Bitcoin market looks like right now based on the Fear & Greed Index: As is visible above, the Bitcoin Fear & Greed Index has a value of 77 at the moment, which suggests that investors as a whole feel extreme greed. The current value means, however, that the market is only just inside this territory. Earlier, the indicator had a lower value, but the latest price surge beyond the $71,000 level has meant that investors have openly jumped on the bull bandwagon. Below is a chart showing how the sector’s sentiment has changed over the past year. The graph shows that the latest values of the Fear & Greed Index are the highest that the cryptocurrency has witnessed since the first half of April. Between then and now, the only other time the indicator stepped inside the extreme greed zone was during a stretch in May. During this phase, 76 was the highest the metric could go, which is right at the region’s boundary. Historically, the price of Bitcoin has tended to go against the majority’s expectations, and the stronger this expectation has become, the more likely it is that such a contrary move will occur. Related Reading: Bitcoin Surges Past $71,000, But TD Sequential Says Sell Since the extreme sentiment zones are where the market turns the most lopsided, reversals are probable. Naturally, extreme fear is where bottoms happen, while extreme greed can lead to tops. As such, the latest breach into the extreme greed territory could perhaps be bad news for the recovery rally. It should be noted, though, that the current level of the indicator may still not be too high compared to past bull run levels. For example, the rally to the new all-time high price in March saw the indicator peak at 90. BTC Price So far in its recovery run, Bitcoin has risen towards the $71,500 level. Featured image from Dall-E, Alternative.me, chart from TradingView.com

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Bitcoin Greed No More: Sentiment Back At Neutral After $57,000 Plunge

Data shows that Bitcoin sentiment has cooled off to neutral from greed following the asset’s latest plunge to the $57,000 level. Bitcoin Fear & Greed Index Has Returned To Neutral Levels The “Fear & Greed Index” is an indicator created by Alternative that shows the average sentiment among investors in the Bitcoin and wider cryptocurrency market. This index estimates sentiment by considering five factors: volatility, trading volume, social media data, market cap dominance, and Google Trends. Related Reading: Bitcoin To $92,190: Crypto Analyst Reveals Path To ATH Target The metric uses a scale that runs from zero to 100 to represent this average sentiment. All values under 46 suggest that investors are fearful, while those above 54 imply a greedy market. The zone between these two cutoffs naturally corresponds to the territory of neutral mentality. Now, here is what the Bitcoin sentiment looks like right now, according to the Fear & Greed Index: The value of the metric appears to be 54 at the moment | Source: Alternative As displayed above, the Bitcoin Fear & Greed Index is at a value of 54, implying that investors share a neutral sentiment currently. However, the neutrality is only just, as the metric is right at the boundary of the greed region. This is a significant departure from yesterday’s sentiment: 67. The chart below shows how the indicator’s value has changed recently. The trend in the Fear & Greed Index over the past year | Source: Alternative As the graph shows, the Bitcoin Fear & Greed Index has been declining recently. For most of February and March, as well as the first half of April, the indicator was in or near a special zone called extreme greed. The market assumes this sentiment at values above 75. As the asset price struggled recently, the mentality cooled off from this extreme zone and entered the normal greed region. With the latest crash in BTC, the index has seen a sharp plunge, now exiting out of greed altogether. Historically, cryptocurrency has tended to move against the majority’s expectations. The stronger this expectation, the higher the probability of such a contrary move. This expectation is considered the strongest in extreme sentiment zones, as well as extreme fear and greed. As such, major bottoms and tops have often occurred in these territories. Related Reading: Bitcoin Dominance: Traders Preferring The OG To Dogecoin & Other Altcoins The all-time high (ATH) price last month, which continues to be the top of the rally so far, also occurred alongside extreme values of the Bitcoin Fear & Greed Index. With the sentiment now cooled to neutral, some investors may be watching for a fall into fear. This is natural because a rebound would become more probable the worse the sentiment gets now. BTC Price During Bitcoin’s latest plunge, its price briefly slipped below $57,000 before surging back to $57,300. Looks like the price of the asset has registered a sharp drop over the past two days | Source: BTCUSD on TradingView Featured image from Kanchanara on Unsplash.com, Alternative.me, chart from TradingView.com

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Bitcoin Sentiment Returns To Extreme Greed As BTC Breaks $71,000

Data shows the Bitcoin market sentiment has returned to the extreme greed territory as BTC has registered its rally beyond the $71,000 level. Bitcoin Fear & Greed Index Now Points To “Extreme Greed” The “Fear & Greed Index” is an indicator made by Alternative that tells us about the general sentiment among the investors in the Bitcoin and wider cryptocurrency market. This index represents the sentiment as a score between zero and hundred. To calculate this value, the indicator takes into account the data of these factors: volatility, trading volume, social media sentiment, market cap dominance, and Google Trends. Related Reading: Bitcoin Top In Yet? What The Legendary MVRV Ratio Says When the indicator has a value of 46 or less, it means that the average investor holds a sentiment of fear right now. On the other hand, a value of 54 or more implies the market shares a majority mentality of greed. Naturally, the region in-between these two (47 to 53) corresponds to the neutral sentiment. Now, here is what the latest value of the Bitcoin Fear & Greed Index looks like: The index appears to have a value of 81 at the moment | Source: Alternative As is visible above, the Bitcoin Fear & Greed Index is at 81 right now, meaning that it’s deep into the greed region. In fact, this value is so deep that it’s inside a territory known as “extreme greed.” Extreme greed occurs when the index hits values higher than 75. Fear also has its own extreme region; this one occupying values under 25. Historically, these two sentiments have proven to be particularly significant for the market. BTC and other assets in the sector have often tended to move in the opposite direction from what the majority expect. In the territory of the extreme sentiments, this expectation is naturally the strongest, and hence, the probability of a contrary move taking place is also the highest. Because of this reason, major tops and bottoms in Bitcoin’s price have typically taken shape when the cryptocurrency has been inside the respective extreme zones. Earlier in the month, the Fear & Greed Index had assumed especially high extreme greed levels, as the asset’s rally towards new all-time highs (ATHs) had occurred. Two of the major tops in this period, including the current ATH, coincided with peaks in the indicator, implying that the overheated sentiment may have once again played a role. Looks like the value of the metric has turned around in the past day | Source: Alternative With the recent drawdown in the asset, though, the sentiment also cooled off and exited out of the extreme greed territory, as is visible in the above chart. In bullish periods, the sentiment retreading back to the normal greed region can be a positive sign for fresh upward moves to start. And indeed, this has followed for the cryptocurrency this time as well, as its price has made notable recovery over the past couple of days. With the coin making a return back towards $71,000, the sentiment has also heated up again, hence why the index’s latest value is pointing at extreme greed. Related Reading: Bitcoin Retests Resistance: Heres The Level A Break Could Lead To The aforementioned tops from earlier in the month occurred at Fear & Greed Index values of 90 and 88, respectively, suggesting that the current extreme greed value of 81 may not be too high for another peak to be probable. BTC Price Bitcoin had broken above the $71,000 level earlier in the day, but the digital asset has since registered a bit of a pullback towards $70,700. The price of the coin seems to have sharply risen over the past two days | Source: BTCUSD on TradingView Featured image from Shutterstock.com, Alternative.me, chart from TradingView.com

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Bitcoin Market May Cool Off In 4 To 6 Weeks But Heres What Needs To Happen

Over the years, investor sentiment has been one reliable way to analyze the Bitcoin and cryptocurrency market. Based on recent on-chain data, an analyst has pointed out how the changing investor sentiment could affect the worlds largest cryptocurrency over the next few weeks. Can BTC Price Charge To New All-Time High? In a recent post on X, crypto analyst Axel Adler Jr explained how the Bitcoin market dynamics could significantly shift in the coming weeks. This projection is based on recent changes in the Bitcoin Fear and Greed Index. Related Reading: Ethereum Price Nears Major Resistance At $2,200, Why A 13% Crash Could Follow The Bitcoin Fear and Greed Index refers to a metric that aggregates the average sentiment of investors in the BTC market. The indicator is divided into five zones, including extreme fear, fear, neutral, greed, and extreme greed. Extreme fear signals that traders and investors are moving with high caution, while extreme greed suggests an overheating market condition with traders flooding in with new positions. Historically, periods of extreme fear have been correlated with market bottoms while price corrections usually occur during extreme greed. According to Adler Jr., the 90-day simple moving average (SMA) of the Bitcoin Fear and Greed Index has fallen by approximately 22 percentage points over the past two months. This decline has seen the BTC metric shift from extreme greed to a more moderate level of greed. Going further, the on-chain analyst mentioned that if the Bitcoin Fear and Greed Index drops by another 10 to 15 points in the near future, the market may experience a cooling-off period where participants could have become accustomed to negative factors and emotional price movements may even subside. Adler Jr added in his post: At the current pace, it may take approximately 4 to 6 weeks for the index to drop by an additional 1015 points. The analyst also highlighted that the 30-day (monthly) moving average appears to be reaching a local bottom, one seen at the end of the Bitcoin price correction to $54,000. The last time the Fear and Greed Index monthly SMA reached this level, the premier cryptocurrency climbed to a new all-time high price. If this historical pattern holds, investors could see the BTC price break out of its consolidation range. Bitcoin Price At A Glance As of this writing, the price of BTC is just beneath the $84,000 level, reflecting a 0.5% decline in the past 24 hours.  Related Reading: XRP Price To $27: Why Current Boredom Phase Could Trigger Epic Rally Featured image from iStock, chart from TradingView

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Bitcoin Sentiment Cools Off, Price Rebound Soon?

The Bitcoin Fear & Greed Index shows that the sentiment around the asset has cooled off a bit recently, something that could pave the way for a rebound. Bitcoin Fear & Greed Index Has Gone Through Some Decline Recently The “Fear & Greed Index” is an indicator created by Alternative that tells us about the average sentiment present among the investors in the Bitcoin and wider cryptocurrency market To determine the trader mentality, the index takes into consideration for these five factors: volatility, trading volume, social media sentiment, market cap dominance, and Google Trends. Related Reading: Bitcoin FOMO: Over 533,330 Addresses Bought Above $70,180 The metric uses a numeric scale that runs from zero to hundred for representing this sentiment. A score of 46 or less implies the presence of fear among the investors, while that of 54 and above suggests greed in the market. The territory between these two (47 to 53) naturally corresponds to the neutral mentality. Besides these three sentiments, there are also two extreme sentiments called “extreme greed” and “extreme fear.” The extreme greed occurs at values above 75, while the extreme fear takes place below 25. Historically, these two sentiments have been quite relevant for BTC’s trajectory. Tops have generally tended to form when the investors have held the former sentiment, while bottoms have been probable to happen when the market has been in the latter region. At present, the traders are holding a mentality of extreme greed, as the latest data of the Bitcoin Fear & Greed Index shows. Looks like the value of the metric is 77 at the moment | Source: Alternative As is visible, the indicator’s value is 77 right now, meaning that while it’s indeed inside extreme greed, it’s only so just. This is a fresh change from how it has been recently, as the chart below displays. The value of the indicator appears to have been going down recently | Source: Alternative From the graph, it’s visible that the Bitcoin Fear & Greed Index has mostly stayed deep inside the extreme greed region recently. On the 14th of this month, the indicator hit the 88 mark, and alongside this high, the BTC price registered its current all-time high of about $73,800. Since this peak, though, the asset has plunged, and it appears that alongside it, so has the sentiment among the traders. As mentioned earlier, tops have been more likely to occur when the market has shared a mentality of extreme greed and this probability has generally only gone up the more extreme levels the metric has hit. This could perhaps explain why the recent top occurred when it did. Another top this month, the one that took place on the 5th, also coincided with high values in the Fear & Greed Index (a peak of 90 this time). Related Reading: Bitcoin To $53,200? Why History Says Its Possible Shortly after this earlier peak and the plummet in the cryptocurrency that had followed, the asset found its bottom as the metric briefly exited the extreme greed region. As the Bitcoin Fear & Greed Index is once again looking to dip outside this territory, it’s possible that a bottom may be near for the price this time as well. It now remains to be seen if the sentiment would cool down enough in the coming days so as to leave the extreme region behind, at least temporarily. BTC Price Bitcoin had plunged towards $64,500 during the weekend, but it seems the coin has made some recovery in the past day as it’s now back at $68,000. The price of the coin seems to have gone through some volatility recently | Source: BTCUSD on TradingView Featured image from Yiit Ali Atasoy on Unsplash.com, Alternative.me, chart from TradingView.com

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Bitcoin At Decision Point As Investors Hold Neutral Sentiment

Bitcoin may be at a decision point right now as investor sentiment is exactly neutral. Which way will the market tip in the coming days? Bitcoin Fear & Greed Index Suggests Market Is Neutral A few days back, Bitcoin had observed a sharp plunge that had taken the cryptocurrency’s value towards the $29,000 level. In the days that followed, the asset had only consolidated around these relatively low levels, but during the last 24 hours, things appear to have changed a bit. The impetus for this latest volatility appears to have been the US Federal Reserve (Fed) hiking interest rates by an expected 25 bps. Shortly after the FOMC meeting had announced this increase, Bitcoin started to surge, giving investors hope that the coin may be traveling back toward the $30,000 level. This new rise, however, seems to have already run out of steam, as BTC has fallen back to lower levels. At the time of writing, Bitcoin is trading around $29,400, down 2% in the past week. BTC's recovery hasn't been much yet | Source: BTCUSD on TradingView While Bitcoin has retraced from its peak during the past day, the cryptocurrency is still up a net amount in this period, meaning that the asset has managed to hold onto some recovery nonetheless. Related Reading: This AMD Ryzen Bug Can Compromise Your Crypto Wallet Keys The fact remains, though, that the coin has been unable to keep up its upward trend, a sign that the market is still perhaps indecisive about its direction. This is reflected in the general investment sentiment in the space, as the “Fear & Greed Index” shows. Looks like the needle is pointing directly in the middle currently | Source: Alternative The Fear & Greed index makes use of various market-related metrics (like volatility, dominance, and volume) to judge what the most likely sentiment of the average participant in the sector is currently. This index has a value of 51 right now, which means that the Bitcoin investor sentiment is almost exactly in the balance. This lack of direction in the market isn’t a new development; the investors have been leaning towards neutrality for a week or so now. The trend in the Fear & Greed Index over the past year | Source: Alternative The current neutral sentiment must not be confused with a lack of interest in Bitcoin, however, as data from the on-chain analytics firm Santiment shows that the share of social media discussions related to the 100 largest assets in the cryptocurrency sector occupied by BTC alone (the “social dominance“) is now at a two-week high. BTC-related talks make up for 33% of all discussions related to the top 100 coins | Source: Santiment The traders look to have an active interest in Bitcoin at the moment, but their collective opinion isn’t favoring any one side. In situations like these, it’s generally hard to say which way the cryptocurrency might go in next. Related Reading: Bitcoin Exchange Supply Only Slips Further Despite Price Decline If this indecisiveness in the market stays in the coming days, though, it’s likely that BTC’s stagnation will continue further, as moves in either direction (if any) may not be able to go on for long. Featured image from iStock.com, charts from TradingView.com, Alternative.me, Santiment.net

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Bitcoin Investor Sentiment Suggest BTC Rally Is Far From Over

Bitcoin has been rallying for the last three days and continues to maintain significant momentum. After the digital asset crossed the $30,000 resistance, there was speculation that bulls have finally run out of steam, so the price was expected to correct downward. However, BTC’s current levels combined with the crypto investor sentiment suggest that there could be more runway for the digital asset. Bitcoin Fear & Greed Index Remains Firmly In Greed Presently, the Bitcoin Fear & Greed Index is at one of the highest levels that it has been in the last year. After a long stretch in the neutral and fear territory, Bitcoin has finally moved back once more into the greed territory, signaling positive sentiment from investors. Related Reading: Shiba Inu Becomes 14th Largest Cryptocurrency As Bull Rally Heats Up The index is currently sitting at a score of 65, continuing Thursday’s bullish sentiment. It is now almost 20 points above its last week’s cumulative value of 47 and this shows the genuine jump in investor sentiment going from fearful to greedy. Fear & Greed Index returns to greed as investor sentiment recovers | Source: alternative.me The last time that the index was this high was back in April when Bitcoin’s price broke the $31,000 level for the first time in 2023. So it is possible that the current rally could continue on with time given that the rally that led to BTC climbing above $31,000 in April lasted for about a month. As of now, the crypto market has been rallying for only about two days, so it is too early for exhaustion on the part of buyers. With more investors feeling greedy and rushing to the market to take advantage of the recovery, they will end up pushing the price even higher. Bitcoin At $35,000 Is Possible The crypto market rally is being propelled forward by the entrance of institutional investors into the space. This includes the like of BlackRock and WisdomTree filing for Bitcoin ETFs. Now, the response from the Securities and Exchange Commission (SEC) is not expected for another couple of months, which leaves room for speculation to continue to drive up the price of the assets. This positive sentiment surrounding the ETF filings can push the price farther up to the $35,000 level, which is the next major resistance for BTC. Once this happens, then $40,000 is the next level to beat, at which point, exhaustion and correction back downwards can be expected. BTC price reclaims $30,000 | Source: BTCUSD on TradingView.com If the ETFs do get approved this year, then BTC’s price will likely rally to its previous all-time high of $69,000 as around $20 billion in institutional investor funding is expected to flow into the market initially. As time goes on, this inflow will only continue to rise, propping up the price of the digital asset. Related Reading: US Bitcoin Investor Trading Volume Rises, Stage Set For Another Massive Rally? At the time of writing, BTC has already reclaimed the $30,000 level once more as bulls continue to maintain dominance. According to data from Coinmarketcap, the cryptocurrency is seeing 17.45% gains in the last week, bringing its market cap to $582 billion. Follow Best Owie on Twitter for market insights, updates, and the occasional funny tweet… Featured image from iStock, chart from TradingView.com

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Bitcoin Investors Become Greedy For First Time Since May

Data shows the Bitcoin investor sentiment has turned to greed for the first time since May as the asset’s price has shot up towards the $29,000 level. Bitcoin Fear & Greed Index Is Pointing At “Greed” Now The “Fear & Greed Index” is an indicator that tells us about the general sentiment among the investors in the Bitcoin and wider cryptocurrency market. The metric uses a numeric scale that runs from 0-100 for representing this sentiment. All values of the index above the 54 mark imply that the investors are greedy right now, while those below 46 suggest the presence of fear in the market. The in-between region (values 47-53) signifies a neutral mentality. Besides these core sentiments, there are also two special ones, called “extreme fear” and the “extreme greed.” The former occurs at values of the indicator below 25, while the latter takes place at values above 75. Historically, these two extreme sentiments have been quite significant for the market as bottoms and tops have tended to take place during periods of extreme fear and extreme greed, respectively. Now, here is what the Bitcoin Fear & Greed Index looks like right now, according to data from Alternative: The market seems to be greedy at the moment | Source: Alternative As you can see above, the Bitcoin Fear & Greed Index has a value of 59 currently. This suggests that the majority of the investors hold a sentiment of greed right now. Related Reading: Bitcoin Whales Continue To Accumulate As BTC Makes Recovery Push This is a fresh change, however, as the indicator had lesser values during the last few weeks. The below chart shows how the metric’s value has changed over the past year. Looks like the indicator has observed a spike in recent days | Source: Alternative From the graph, it’s visible that the Bitcoin fear and greed index had seen a plunge during early May and had fallen down to neutral territory. In the weeks that followed, the metric had only managed to break into the greed territory just once (16 May) and had instead gone down into the fear zone on a couple of occasions. This worsening of the market sentiment had naturally come alongside the price of the asset registering a decline, as investors weren’t quite sure if bullish winds would return to the sector. Related Reading: Bitcoin Miners Deposit To Exchanges, What Does This Mean? In the past day, however, the investor mentality has notably improved, as only yesterday the index had a value of 49, implying that the investors had been neutral. This strong uplift in the sentiment towards greed has occurred as Bitcoin has observed a strong surge, which has taken the price near the $29,000 level. The improvement in the mentality can be a positive sign for the rally, as it implies that the general investor is supportive of the current price increase. If the indicator continues to rise in the coming days and enters into the extreme greed territory, however, it might fire back for the asset. As mentioned before, high levels of greed have generally led to top formations for the asset. BTC Price At the time of writing, Bitcoin is trading around $28,900, up 11% in the last week. BTC has seen a strong surge in the past day | Source: BTCUSD on TradingView Featured image from André François McKenzie on Unsplash.com, charts from TradingView.com, Alternative.com

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Bitcoin Trader Sentiment Returns To Greed As BTC Jumps Past $25,000

Data shows the Bitcoin market sentiment has turned to greed again as the cryptocurrency price has sharply risen above the $25,000 level. Bitcoin Fear And Greed Index Is Pointing At Greed Once Again The “fear and greed index” is an indicator created by Alternative that tells us about the general sentiment among traders in the [...]

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Bitcoin Investors Turn Greedy For First Time Since March 2022

Data shows investors in the Bitcoin market have turned greedy for the first time since March 2022, after what was the longest stretch of fear ever. Bitcoin Fear And Greed Index Now Points At “Greed” The “fear and greed index” is an indicator that tells us about the general sentiment among investors in the Bitcoin (as well as the wider crypto) market. To represent this sentiment, the metric uses a numeric scale that runs from 0-100. All values below 50 imply a fearful market, while those above this threshold suggest greedy holders. Although this cutoff point might look clean in theory, in practice, the region between values of 46 and 54 is generally considered to belong to a “neutral” sentiment. Real breakouts towards fear or greed only take place when the metric crosses below or above this transition region. There are also two other “special” sentiments: extreme greed and extreme fear. The former occurs above values of 75, while the latter happens under values of 25. The significance of these extreme sentiments is that tops and bottoms have historically tended to form when the investors have held these mentalities. Because of this, some traders believe extreme fear periods provide ideal buying opportunities (as bottoms have taken place here), while times with extreme greed could be the best selling windows (since tops occur here). Related Reading: CryptoQuant’s Bitcoin PnL Index Forms Bullish Crossover A trading strategy called “contrarian investing” is based on a similar idea. As Warren Buffet said in his famous quote, “be fearful when others are greedy, and greedy when others are fearful.” Now, here is how the current sentiment among Bitcoin (and wider crypto) investors looks like: A greedy cryptocurrency sector | Source: Alternative As can be seen above, the Bitcoin fear and greed index has a value of 55 right now, suggesting that the market has now properly entered into the greed zone. Before this break into the region, the sector had been in the fear region nonstop since March 2022, around ten months ago. Related Reading: Litecoin Whale Transactions Set New 2023 High, Bullish Signal? The below chart shows how the metric’s value has changed during the past year. Looks like the metric has observed some growth in recent days | Source: Alternative From the graph, it’s visible that the indicator had spent almost the entire past year not just in the fear zone, but actually all the way down in the extreme fear region. There was only one proper spike into greed during this period, and that was the aforementioned March 2022 instance. This previous surge had only lasted for a single day before the market became fearful again. These continuous streaks of fear and extreme fear during the past year were both the longest runs in the history of the indicator. Greed finally returning to the Bitcoin market after all this while could mean that investors are ready to embrace some bullish action once again, which could be a positive sign for the current rally. BTC Price At the time of writing, Bitcoin is trading around $22,900, up 9% in the last week. The value of the asset seems to have been consolidating in recent days | Source: BTCUSD on TradingView Featured image from André François McKenzie on Unsplash.com, charts from TradingView.com, Alternative.me

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Bitcoin Slumps Below $20,000. Market Fear Springs

For the longest stretch of days since the cryptocurrency market was shaken by unrest in July, Bitcoin has dropped below US$20,000 for a sixth straight trading session. On Thursday, the value of the biggest cryptocurrency dropped as much as 3.1% to $19,577. Bitcoin In Free Fall The largest cryptocurrency by market capitalization has been in free fall for the previous ten days as concerns over Wednesday’s FOMC minutes drove its price below $20,000. Despite the recent decline, investors seem to be increasing their Bitcoin purchases, and certain key on-chain data indicate that the price may be getting ready to emerge from its most recent low. Market Analyst Jim Wyckoff foresaw the increase in volatility and cautioned in his morning Bitcoin brief that “quieter sideways trading continues, but probably not for much longer. History demonstrates that the financial markets can experience volatility in September. BTC/USD trades at $20k. Source: TradingView Wyckoff predicted that it might last for some time as long as bears continue to outnumber bullish traders. “In the immediate future, expect increased cryptocurrency volatility. To break the price decline that is still visible on the daily chart for bitcoin, albeit narrowly, bulls need to demonstrate greater strength, according to Wyckoff. Bitcoin average funding rates. Source: Santiment The cryptocurrency analytics company Santiment, which published the following chart displaying the increase in BTC average funding rates, revealed that the sentiment against Bitcoin is still unfavorable. Related Reading: TA: Bitcoin Bears Keep Pushing, Why BTC Is At Make-or-Break Levels Fear Overtakes Hope Less than US$1 trillion, or roughly a third of its peak market value reached in November, is now the size of the cryptocurrency industry. Coin values were shaken midyear by the collapse of the Terra ecosystem, the demise of Three Arrows Capital, the bankruptcy of broker Voyager, and the failure of lender Celsius after coming off the highs amid a general increase in risk aversion. Stephane Ouellette, chief executive of FRNT Financial Inc. said: “There is a lot of fear that if we make new lows on BTC (as a proxy for the market), there will be another wave of crypto company defaults.” Source: Bloomberg The fall on September’s first day is unfavorable for the bellwether currency. Since 2017, every September has seen a decline in the price of Bitcoin, making it traditionally one of the worst months of the year. According to Bespoke Investment Group, over the past five years, the monthly decline in the value of Bitcoin has averaged 8.5%. The overall cryptocurrency market cap now stands at $967 billion, and Bitcoin’s dominance rate is 39%. Related Reading: Bitcoin Derivatives Reserve Surges Up, More Volatility Soon? Featured image from UnSplash and chart from TradingView.com, Bloomberg, and Santiment

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Bitcoin Fear And Greed Index Has Dipped To Lows Not Seen Since July

Following the Bitcoin crash to $42k, the fear and greed index has declined to extreme fear values not seen since July of last year. Bitcoin Fear And Greed Index Points At “Extreme Fear” As pointed out by an analyst in a CryptoQuant post, the BTC fear and greed index has dropped to very low values. The “fear and greed index” is a crypto indicator that measures the general sentiment among investors in the market. The index uses numbers to represent the sentiment on a numeric scale that goes from zero to hundred. Values of the indicator above fifty mean that the current holder sentiment is that of greed. And values below 50 imply that the market is fearful at the moment. Index values below 25 and those above 75 fall into the “extreme” category, signifying extreme fear and extreme greed, respectively. The indicator usually remains in the greed zone during bull runs. Extreme greed values have historically signaled that a correction in the price of Bitcoin may be near, and a top could form. On the other hand, values of fear may be there during bearish trends, and extreme fear might imply that a bottom could soon form. Related Reading | Bitcoin Whales Contribute 90% Of Money Inflow of Exchanges, How Can We Follow and Make Profits? Now, here is a chart that shows the trend in the Bitcoin fear and greed index over the past year: The crypto fear and greed index seems to have sunk to extreme fear values | Source: CryptoQuant As you can see in the above graph, the indicator has now dipped to a value of 15. This is the lowest the metric has gone since July of the previous year. Related Reading | Start Of Bear Period? Current Bitcoin Trend Looks Similar To June Incidentally, the day in July when such low values occurred was also around when the Bitcoin price bottomed out. However, the quant in the post notes that this doesn’t necessarily mean that the current price has hit a bottom as well. Following the May crash, the months of May and June also observed similar extreme fear sentiments multiple times. So, it’s rather possible that the current low values of the indicator may persist for a while, just like back then, before the price finds its way back up. BTC Price At the time of writing, Bitcoin’s price floats around $42.4k, down 12% in the last seven days. Over the past month, the crypto has lost 16% in value. The below chart shows the trend in the price of BTC over the last five days. After the crash down to $42k a few days back, BTC's price further plunged down to $41k yesterday | Source: BTCUSD on TradingView Featured image from Unsplash.com, charts from TradingView.com, CryptoQuant.com

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Bitcoin Traders Fearful For First Time Since October: Buying Signal?

Data shows the sentiment among Bitcoin traders has plunged into the fear territory following the crash in the cryptocurrency’s price. Bitcoin Fear & Greed Index Has Plummeted During The Past Day The “Fear & Greed Index” refers to an indicator devised by Alternative that tells us about the average sentiment that’s currently present in the Bitcoin and wider cryptocurrency markets. This metric makes use of a numerical scale that runs from zero to hundred for representing the market mentality. All values above the 53 mark correlate to the investors sharing a sentiment of greed, while those under 47 suggest the presence of fear in the sector. The region in-between these cutoffs corresponds to a net neutral sentiment. Related Reading: Stablecoins See Positive Momentum: Will This Lead To New Bitcoin All-Time High? Besides these three main regions, there are also two special zones known as the extreme fear and extreme greed. The former occurs below 25 and the latter above 75. Now, here is how the latest market sentiment has looked according to the Bitcoin Fear & Greed Index: As is visible above, the indicator has a value of 44, which suggests the traders in the sector are being fearful at the moment. This is a drastic change from how the market has been recently, as the below chart displays. On the 31st of last month, the Bitcoin Fear & Greed Index had a value of 76, meaning that the market sentiment was inside the extreme greed territory. Just three days later, the trader’s opinion has completely flipped. The rapid deterioration in sentiment is a result of the bearish price action that the asset has witnessed this month, which has culminated in a crash during the past day. If history is to go by, though, the skepticism that has developed among the investors may actually be a positive sign for BTC’s price. Bitcoin and other digital assets often tend to move in a direction that’s opposite to what the crowd is expecting. The probability of such a contrary move taking place only rises the stronger the investors’ belief becomes. Related Reading: Bitcoin HODLer Selloff Extends To 1.1 Million BTC As Profit-Taking Continues Extreme greed and extreme fear are where this likelihood is the strongest, so major tops and bottoms have historically formed when the Fear & Greed Index has been in these regions. The top last month, for instance, also occurred alongside extreme greed. Traders who follow an investing philosophy called contrarian trading exploit this fact to time their moves. Warren Buffet‘s famous quote sums up the idea: “Be fearful when others are greedy, and greedy when others are fearful.” While the market sentiment hasn’t quite worsened into extreme fear yet, the fact that the metric is at its lowest value since October could still be a sign that a contrarian trader may be looking for. It now remains to be seen whether the current level of fear would be enough for Bitcoin to bottom out, or if a further drop will happen first. BTC Price At the time of writing, Bitcoin is floating around $95,200, down around 4% in the last 24 hours. Featured image from Dall-E, Alternative.me, chart from TradingView.com

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Bitcoin Fear & Greed Index Reaches Highest Level Since 2021, What To Expect Next

The Bitcoin Fear & Greed Index has risen to its highest level in almost three years, hitting Extreme Greed at rocket speed. Using past performance and indicators, it is possible to deduce where the BTC price is headed next after reaching this new milestone. Bitcoin Fear & Greed Index At New 2-Year High The Bitcoin Fear & Greed Index is a measure of investor sentiment and how they are looking at the market. This can help to figure out if investors are currently putting money into the market or if they are taking money out of it. Related Reading: OG Ethereum ERC-404 Token PANDORA Is Rallying Again, Whats Behind It? There are five major categories across the Fear & Greed Index, including Extreme Fear, Fear, Neutral, Greed, and Extreme Greed. The index is ranked on a scale of 0-100, with a range of numbers representing a category of investor sentiment. Extreme Fear is the lowest on this scale, which ranges from 0 to 25. Then, from 26 to 46, we have the Fear. Both of these categories indicate an unwillingness of investors to enter the market and have often presented as the best time to invest in crypto. Next on the scale is 47 to 52, which represents the Neutral territory. Then 53 to 75 is Greed when investors are beginning to feel confident in the market. Finally, 76 to 100 is Extreme Greed, which represents peak bullishness. As the Bitcoin Fear & Greed Index currently sits at 79, which is Extreme Greed, it could carry some implications for the market. BTC price pushes toward $57,000 | Source: BTCUSD on Tradingview.com Extreme Greed Marks The Top? Just as the Bitcoin Fear & Greed Index can be helpful in determining what is a good time to buy, it can also provide pointers for when a market top might be in. Looking through the historical performance of the crypto market compared to the Fear & Greed Index, we see a persistent correlation between peak euphoria and the market top. Related Reading: The Polygon Vesting Contract Is Officially Empty, Will This Send MATIC Price To $3? The most recent example of this is November 2021, when the indexs score climbed to as high as 84, just 5 points shy of the current 79 score. At this point, the price of Bitcoin had risen to $69,000 before meeting resistance, which it will eventually succumb to, In the following days, sentiment would begin turning, as did the price of Bitcoin. A similar pattern was also seen in February and March 2021 when the index hit a high of 94. The next few days saw interest taper off, marking the peak at that particular point. If the same pattern were to be repeated in this scenario, then Bitcoin could have another few days of runway before it blows off top. Presently, the cryptocurrency is already seeing significant resistance at $57,000, which could suggest that the top is near. Follow Best Owie on X (formerly Twitter) for market insights, updates, and the occasional funny tweet Featured image from Publish0x, chart from TradingView.com

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Extreme Greed Is Back For Bitcoin, Is It Time To Sell?

Data shows extreme greed sentiment has made a return among the Bitcoin investors after the cryptocurrency’s price has broken above $50,000. Bitcoin Fear & Greed Index Now Points Towards “Extreme Greed” The “Fear & Greed Index” refers to an indicator that tells us about the general sentiment among Bitcoin traders and broader cryptocurrency sectors. The metric represents this sentiment using a numerical scale from zero to hundred. According to Alternative, its creator, the index calculates this score using five factors: volatility, trading volume, social media sentiment, market cap dominance, and Google Trends. Related Reading: CryptoQuant Founder Puts $112,000 Target For Bitcoin This Year When the Fear & Greed Index has a value of 54 or greater, the investors now share a sentiment of greed. On the other hand, values of 46 or less imply the presence of fear among the traders. The region between these two ranges (values 47 to 53) corresponds to the territory of “neutral” sentiment. In addition to these three core sentiments, “extreme fear” and “extreme greed” occur at the deep ends of the fear and greed ranges. Here is what the Bitcoin Fear & Greed index looks like right now to see which of these regions the market is in: Looks like the value of the metric is 79 at the moment | Source: Alternative As displayed above, the Bitcoin Fear & Greed Index has surpassed the 75 threshold for extreme greed during the past day and has attained a value of 79. The metric was at 70 yesterday, so it has seen a bit of a jump in just the last 24 hours. This surge in sentiment from greed to extreme greed has occurred as cryptocurrency broke past the $50,000 barrier for the first time since December 2021. Historically, the extreme sentiments have been quite significant for the asset, as major bottoms and tops for the price have occurred in these regions. This relationship between the two, however, has been inverse. Extreme fear has been when bottoms have taken shape, while extreme greed has been where tops have formed. In the past, Bitcoin has usually tended to move against the majority’s expectations. This expectation is the strongest in these ranges, so it makes sense that a reversal is the primarily likely here. Followers of a trading philosophy called “contrarian investing” exploit this fact to time their buying and selling moves. “Be fearful when others are greedy, and greedy when others are fearful” is a famous quote from Warren Buffet that sums up the idea. As the chart below shows, the last time the Fear & Greed Index attained extreme greed levels was around the time of the spot ETF approval. The trend in the Fear & Greed Index over the past year | Source: Alternative As BTC investors are very well aware, the coin hit a top coinciding with the event as the market took to selling the news. Since the sentiment is now back inside extreme greed with its latest surge, another similar reversal point may be close for its price. Related Reading: Dogecoin Out Of Fashion? Volume & Whale Activity Plunges Perhaps it’s at a time like this when a contrarian investor would consider moving towards selling, going against the hype and euphoria floating around the market. BTC Price Bitcoin has enjoyed a surge of over 4% in the past day, which has taken its price towards the $50,000 mark. The price of the coin appears to have shot up over the past day | Source: BTCUSD on TradingView Featured image from Shutterstock.com, Alternative.me, charts from TradingView.com

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Bitcoin Fear and Greed Index Hits a New 17- Month High of 69

The crypto fear and greed index has reached a 17-month high, according to data from Alternative. The index currently stands at 69.  What: The Bitcoin [...]

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Bitcoin Sentiment Now Worst Since Mid-October: Reversal Signal?

Data shows the Bitcoin investor sentiment has plunged to the lowest level since the middle of October. Here’s what this could mean for BTC’s price. Bitcoin Fear & Greed Index Has Seen A Decline Recently The “Fear & Greed Index” refers to an indicator created by Alternative that tells us about the general sentiment present [...]

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