Crypto 'Fear and Greed Index' at 33... Indecision Worsens

Crypto 'Fear and Greed Index' at 33... Indecision Worsens

Cryptocurrency data provider Alternative's self-estimated 'Fear and Greed Index' recorded 33, down 6 points from the previous day. Sentiment worsened compared to the previous day, and the fear phase continued. The index indicates extreme market fear as it approaches 0 and extreme optimism as it approaches 100. The fear and greed index is calculated based on volatility (25%), trading volume (25%), SNS mentions (15%), surveys (15%), bitcoin market cap weighting (10%), and Google search volume (10%). Alternative's 'Fear and Greed Index' is a widely used indicator to measure market sentiment towards cryptocurrencies. The index takes into account various metrics such as volatility, trading volume, and social media mentions to determine whether the market is in a state of fear or greed. A reading of 33 indicates that the market is currently in a state of indecision, with both fear and greed present. This indecision is likely due to the recent volatility in the cryptocurrency market, which has seen prices fluctuate significantly in recent weeks. It is important to note that the 'Fear and Greed Index' is a subjective measure and should not be used as the sole basis for investment decisions. However, it can be a useful tool for gauging market sentiment and identifying potential trends.