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Bitcoin Fear and Greed Index Now Points Towards Neutral Sentiment

• The Bitcoin Fear and Greed Index is an indicator that tells us the general sentiment of investors in the Bitcoin market.
• Values higher than 50 suggest greed while those below suggest fear.
• Currently, the fear and greed index has a value of 48, suggesting a neutral sentiment with a slight lean toward fear.

Bitcoin Fear And Greed Index

The „fear and greed index“ is an indicator that shows the current sentiment among investors in the Bitcoin market. The metric uses a numeric scale from 0-100 to display investor emotions, with values above 50 indicating greed and values below 50 implying fear. There are also two special sentiments called „extreme greed“ (values over 75) and „extreme fear“ (values under 25). Historically, tops and bottoms in Bitcoin prices have occurred during these extreme mentalities which some traders believe creates ideal buying or selling opportunities.

Current Market Sentiment

Currently, the Bitcoin Fear and Greed Index has a value of 48 which suggests a neutral sentiment with a slight lean toward fear as the price of Bitcoin has dropped below $22,000.

Past Year’s Value Change

The chart below shows how the Fear & Greed Index has changed over the past year:

Looks like the value of the metric has seen some decline in recent days | Source: Alternative

It’s visible that for most of this past year,the Fear & Greed Index was at low values indicative of fear or extreme fear streaks; both being record-long streaks throughout its history. These streaks were broken earlier this year when Bitcoin’s rally lifted it up into more greedy values.

Shiba Inu Tops Crypto Market In This Metric

Shiba Inu recently topped crypto markets as measured by this metric as it reached extreme levels of both greed and fear in short periods of time due to its high volatility compared to other assets on crypto markets.

Conclusion

In conclusion, despite recent drops in price causing a drop in market sentiment for bitcoin to neutral today according to its Fear & Greed index, there are still potential trading opportunities based on these extreme levels indicated by this metric – either buy during periods of extreme fear or sell during times of extreme greed as they often signal tops or bottoms forming in price respectively.