2022: The Year Of Crypto Market Fear

Keshav Verma

1 year ago

3 mins read

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Data shows 2022 has been the year of fear in the crypto market as investors have continued to display poor sentiment for around eleven months now.

Crypto Fear And Greed Index Currently Sits In “Extreme Fear” Territory

As per the latest weekly report from Arcane Research, the cryptocurrency market could soon complete one full year of fearful sentiment.

The relevant indicator here is the “fear and greed index,” which tells us about the general sentiment among investors in the crypto market.

The metric uses a numeric scale that runs from zero to hundred for representing this sentiment. All values greater than fifty imply a greedy mood, while those below the threshold suggest a fearful air.

Outside of these two sentiments, there also exist two subset sentiments, the “extreme fear” and the “extreme greed.” These occur at values towards the ends of the range. That is, those above 75 for the former, and those below 25 for the latter.

Now, here is a chart that shows the trend in the crypto fear and greed index over the past year:

The value of the metric seems to have been moving sideways during recent weeks | Source: Arcane Research's The Weekly Update - Week 41, 2022

As you can see in the above graph, the current long spell of fear first started way back in mid-Nov of last year as the bull run died down.

Since then, outside of only a few spikes to greed, the crypto fear and greed index has stayed below a value of fifty.

During this period, the metric has actually spent a large amount of time in the extreme fear territory, meaning investors have had a deep bottom mentality in 2022.

The latest value of the indicator has been 22, meaning that investors are extremely fearful at the moment. This isn’t much different from the last week, which observed a value of 24.

The below meter displays where the current market stands compared to last week and last month.

The fear and greed index points at extreme fear right now | Source: Arcane Research's The Weekly Update - Week 41, 2022

BTC Price

At the time of writing, Bitcoin’s price floats around $19.2k, up 1% in the last seven days. Over the past month, the crypto has lost 1% in value.

Below is a chart that shows the trend in the price of the coin during the last five days.

Looks like the value of the crypto has continued to be stuck in a range over the last few days | Source: BTCUSD on TradingView

Featured image from Hans-Jurgen Mager on Unsplash.com, charts from TradingView.com, Arcane Research

Keshav Verma

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

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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