The market has moved into a state of "extreme greed"
Against the background of Bitcoin (BTC) reaching a multi-year high, the fear and greed index broke a multi-year record
On February 12, the exchange rate of the first cryptocurrency reached $50 thousand, the highest since November 2021. The fear and greed index shows that the market has moved into the zone of "extreme greed".
The index numerically shows the sentiment of participants in the crypto market, based on several key indicators, such as:
- volatility (25%);
- momentum and market volume (25%);
- social media activity (15%);
- survey data (15%);
- BTC dominance (10%);
- trends (10%).
At the moment, the arrow is in the zone of "extreme greed". Since the beginning of 2024, the indicator has been growing, but not steadily.
On January 11, when trading in spot bitcoin ETFs began, the fear and greed index was 76 points. However, in just three days, it quickly fell back to 52. The minimum for the past month was fixed at 48.
In general, the crypto market entered the zone of "extreme greed" only on November 11, 2021. The price of BTC reached a historic high of $69 thousand, and the figure was 77.
