Bitcoin sees bullish gains to fall from “fear” levels

The Bitcoin Fear and Greed Index, a model that looks at Bitcoin price, sentiment, and market fundamentals to measure how bullish or bearish Bitcoin ($BTC) is each day, has finally broken months of trading in “fear” territory.

The index reached a neutral level at 45/100 (where 0 represents “extreme fear” and 100 represents “extreme greed”). This is the highest the index has seen at a neutral level since April 2022. June 2022 saw the index reach extreme fear, the lowest point it has seen in years, of only 9/100. Since June, it has been ranging between 20 and 30 – sitting under extreme fear. The last time Bitcoin  saw extreme greed was in October 2021.

The move from “fear” to neutral comes after Bitcoin gained nearly 25% in price over the past week’s trading.

The Fear and Greed Index

The Bitcoin Fear and Greed Index takes data from a number of different metrics to plot the sentiment of Bitcoin and the cryptocurrency markets. There are are a few categories considered to dictate the market’s emotions towards Bitcoin:

  • Market volatility,
  • Market momentum and volume,
  • Social media sentiment,
  • Google Trends data and sentiment regarding search terms.

The index went to 52/100 earlier this month, but has since dipped down again. This implies that the market is not entirely certain of a bull run and confidence has yet to return.

Bitcoin price and sentiment

Currently, Bitcoin is enjoying a streak of inclines with a bullish 12-day run. Since the beginning of the year, it has seen a 28% increase; despite the major price crash that came as a result of the FTX fall. Some analysts believe that the quick increase might suggest a correction is on the way, however some others believe that market is heading into a bullish state.

Related Articles

Scammers Exploit Fake Crypto Jobs and Meeting Apps to Drain Wallets

A cybercrime group has implemented a social engineering plot using fake crypto job ads, a phony company, and a harmful meeting application.

Record $938M Outflow Hits US Spot Bitcoin ETFs Amid Market Turbulence

US Bitcoin ETFs have experienced over $2.4 billion in net outflows throughout February as BTC faces challenges in sustaining its price...

Crypto Shows How Powerful Tokenising Private Stocks Would Be – Robinhood CEO

Robinhood CEO Vladimir Tenev pointed out that the ease of creating a cryptocurrency and getting it trading in just five minutes.

Ohio Introduces Bill to Exempt State Taxes on Crypto Payments

The bill requires state pension funds to explore investing in crypto ETFs and safeguards the right to store digital assets securely.