BTC Fear and Greed Index shows greed” for the first time in 10 months
BTC Fear and Greed Index shows greed” for the first time in 10 months
The metric, which shows the general mood of the community towards Bitcoin-the Fear and Greed Index-entered the "greed" zone for the first time since March 30, 2022.
This could be due to the price increase of the primary cryptocurrency in the first month of the year and the general revival of the entire market.
Contrary to the world-wide economic crisis, Bitcoin has started the new year well. It is currently being traded at around $ 23,000 (according to Coingecko), which corresponds to an increase of 40 % compared to the last day of 2022. The BTC Fear and Greed Index, which serves as an indicator of the current mood for the digital asset, was in the area of "Fear" or "Extreme Fear" for several months.
However, the increase in the asset seems to have changed the trend and today (January 27) the metric pointed It is worth noting that the increased trust among crypto investors should not be viewed directly as a catalyst for a new bull run. In fact, a metric in a state of "fear" or "extreme fear" could indicate a good purchase opportunity, while greedy investors could mean that a correction of the market is due. The impressive performance of the assets in the first weeks of 2023 left some believed that a new bull market could be imminent. Coping with the inflation crisis could possibly contribute to another Bitcoin rally in the next few months. Almost every announcement of the US CPI numbers has brought BTC an increased volatility, and normally inflation tips have pressed its evaluation down. The data showed that the US efforts to solve the problems began to show results. The inflation rate in the largest economy in the world in June was 9.1 % (the highest for 40 years), while the figures in December clock at 6.5 %. Another factor that could influence the price development of BTC are the meetings of the Federal Open Market Committee (FOMC), in which the central bank has announced seven consecutive interest rate increases in order to lower the galloping inflation. The current benchmark is 4.5 % (the highest value for 15 years), while further climbs are expected in the following months. Here is a List of the CPI calendar and all FOMC sessions by the end of 2023. Anthony Scaramucci-the founder of Skybridge Capital-recently said . Back to 'greed'
Bitcoin fear and greed index. Alternative.me
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