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Breaking News: Celsius Founder Alex Mashinsky Receives 12-Year Prison Sentence

Bitcoin Near ATH, But Still No Extreme Greed: Green Sign For Bull Run?

Keshav Verma
Keshav Verma
15 hours ago
2 mins read
Bitcoin

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Data shows the Bitcoin Fear & Greed Index has remained outside the extreme greed zone even after the price surge above $104,000.

Bitcoin Fear & Greed Index Is Still Inside Greed Territory

The “Fear & Greed Index” refers to an indicator created by Alternative that tells us about the average sentiment present among the investors in the Bitcoin and wider cryptocurrency markets.

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The metric makes use of the data of the following five factors to determine the trader mentality: trading volume, volatility, market cap dominance, social media sentiment, and Google Trends.

To represent the market sentiment, the index uses a numeric scale running from zero to hundred. All values under 47 suggest the dominance of fear in the market, while those above 53 imply that of greed. Values lying between these cutoffs correspond to a net neutral mentality.

Besides these three main sentiments, there are also two special regions known as the extreme greed and extreme fear. The former occurs above a value of 75, while the latter below 26.

Now, here is how the latest value of the Bitcoin Fear & Greed Index is like:

Bitcoin Greed
The index’s value appears to be 70 | Source: Alternative

As is visible above, the Bitcoin Fear & Greed Index has a value of 70 at the moment, which suggests the investors as a whole share a sentiment of greed. This greedy mentality is also decently strong, as it’s only a few units away from the extreme greed territory.

Earlier in the month, the trader mentality declined to a neutral level as the price surge took a pause, but with the latest continuation to the rally, the market mood has improved once more.

Bitcoin Fear & Greed Index
The trend in the BTC Fear & Greed Index over the last twelve months | Source: Alternative

Interestingly, though, despite Bitcoin approaching its all-time high (ATH), the investors have still not become extremely greedy. If history is to go by, this could actually play into the favor of the asset’s price.

The reason behind this is that the cryptocurrency has often tended to move in a direction that’s opposite to the crowd opinion. The probability of such a contrary move taking place has only gone up the more sure the investors become of a direction, so the extreme zones, where sentiment is the strongest, is where major tops and bottoms have formed.

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The Fear & Greed Index still staying out of the extreme greed region could be an indication that an excess of hype hasn’t developed among the investors just yet, so Bitcoin could potentially have more room to run before a top.

BTC Price

Bitcoin briefly managed to cross beyond the $105,000 level earlier, but it seems the coin has seen a small pullback since then as its price is now back at $103,000.

Bitcoin Price Chart
The price of the coin seems to have gone up recently | Source: BTCUSDT on TradingView
Featured image from Dall-E, Alternative.me, chart from TradingView.com
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Keshav Verma
Keshav Verma

Keshav Verma

Keshav is currently a senior writer at NewsBTC and has been attached to the website since June 14, 2021.

Read more

Keshav has been writing for many years, first as a hobbyist and later as a freelancer. He has experience working in a variety of niches, even fiction at one point, but the cryptocurrency industry has been the longest he has been attached to.

In terms of official educational qualifications, Keshav holds a bachelor’s degree in Physics from one of the premier institutes of India, the University of Delhi (DU). He started the degree with an aim of eventually making a career in Physics, but the onset of COVID led to a shift in plans. The virus meant that the college classes had to be delivered in the online-mode and with it came free time for him to explore other passions.

Initially only seeking to make some beer money, Keshav unexpectedly landed clients offering real projects, after which there was no looking back. Writing was something he had always enjoyed and to be able to do it for a living was like a dream come true.

Keshav completed his Physics degree in 2022 and has been focusing on his writing career since, but that doesn’t mean his passion for Physics has ended. He eventually plans to re-enter university to obtain a masters degree in the same field, but perhaps only to satiate his own interest rather than for using it as a means to find employment..

Keshav has found blockchain and its concepts fascinating ever since he started going down the rabbit-hole back in 2020. On-chain analysis in particular has been something he likes to research more about, which is why his NewsBTC pieces tend to involve it in some form.

Being of the science background, Keshav likes if concepts are clear and consistent, so he generally explains the indicators he talks about in a bit of detail so that the readers can perhaps come out having understood and learnt something new.

As for hobbies, Keshav is super into football, anime, and videogames. He enjoys football not only as a watcher, but also as a player. For games, Keshav generally tends towards enjoying singleplayer adventures, with EA FC (formerly FIFA) being the only online game he is active in. Though, perhaps due to being ultra-focused on the game, he is today a semi-pro on the EA FC scene, regularly participating in tournaments and sometimes even taking back prize money.

Because of his enthusiasm for anime and games, he also self-learned Japanese along the way to consume some of the untranslated gems out there. The skill didn’t merely remain as just a hobby, either, as he put it to productive use during his exploration for small-time gigs at the start of COVID, fulfilling a couple of Japanese-to-English translation jobs.

Keshav is also big into fitness, with agility and acceleration-related workouts making a big part of his program due to the relevance they have in football. On top of that, he also has a more traditional strength based program for the gym, which he does to maintain an overall fitness level of his body.

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Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

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Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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