Market sentiment F&G

What can we learn from the Bitcoin Fear and Greed Index?

The fear and greed index is one tool to help track market sentiment. It is best to use a number of tools when analysing market sentiment and find areas of correlation for the best conclusions.

Data source: Alternative.me

All historical data.

The above image is the history of the fear and greed index from Feb 2018 - June 2022. The wick down in September 2019 seems to be an anomaly registering below 10 but reading 20 when you hover over it on the website. Since the fear and greed index began Bitcoin has never registered at 6 but it has now registered at 6 two days in a row.

The market is incredibly fearful. As today is a Sunday when the market often dips at a weekend and Monday is spent recovering from the weekend dip. Given the market conditions, who knows what will happen next.

Make of it what you will but when the market is fearful it is usually a more optimal time to accumulate.