Take a fresh look at your lifestyle.

While Markets Consolidate, Crypto Fear and Greed Index Points to ‘Extreme Fear’


While Markets Consolidate, Crypto Fear and Greed Index Points to 'Extreme Fear'

18 days ago on March 28, the Crypto Fear and Greed Index tapped the “greed” position, scoring a 60 for the first time in four months. Since that day, bitcoin has lost more than $7,500 in USD value, and hit a low of $39,200 per unit on April 11. The downturn has pushed the Crypto Fear and Greed Index back down to the “extreme fear” position with a score of 22.

Crypto Sentiment Index Slides to ‘Extreme Fear,’ Bitcoin’s USD Value Is Down 35.7% Year-to-Date

On Friday, April 15, 2022, the price of bitcoin (BTC) has consolidated for now, after reaching a low four days ago. BTC’s 24-hour range on Friday has been between $39,823.77 to $40,709.11 per unit, with roughly $22 billion worth of global trading volume.

Bitcoin is down 7.2% this past week and two-week statistics show the leading crypto asset has lost roughly 11.3%. Year-to-date, bitcoin’s price against the U.S. dollar is 35.7% lower than a year ago today.

While Markets Consolidate, Crypto Fear and Greed Index Points to 'Extreme Fear'

While bitcoin’s market capitalization on Friday is around $767 billion it represents 38.91% of the current $1.97 trillion crypto economy. Today’s top trading pair with BTC is tether (USDT) with 60.88% of all trades worldwide. Tether is followed by USD (12.27%), BUSD (7.88%), JPY (4.09%), and KRW (3.28%).

On April 15, the Crypto Fear and Greed Index tapped the “extreme fear” position and has a current score of 22. Yesterday, it was 28 which represents “fear” and the week prior, the score was 37, which also means “fear.”

While Markets Consolidate, Crypto Fear and Greed Index Points to 'Extreme Fear'

The Crypto Fear and Greed Index leverages market sentiment and crunches it down into a simple number and description. Sentiment indexes are used in traditional financial markets as well. Financial businesses, universities, and media organizations like CNN, the University of Michigan, Nasdaq’s ISEE Index, and more use these sentiment indexes to gauge how the market feels.

Bitcoin is the ninth-largest global asset today, in terms of market capitalization, above Berkshire Hathaway’s market valuation ($760.36B), and below Tesla’s capitalization ($1.018T).

The last time the Crypto Fear and Greed Index tapped a 22 was March 22, or 24 days ago. The Crypto Fear and Greed Index hosted on alternative.me explains extreme fear and greed can have two meanings.

“’Extreme fear’ can be a sign that investors are too worried. That could be a buying opportunity,” the website explains. “When Investors are getting too ‘greedy,’ that means the market is due for a correction.”

What do you think about today’s Crypto Fear and Greed Index data reaching extreme fear? Let us know what you think about this subject in the comments section below.

Jamie Redman

Jamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 5,000 articles for Bitcoin.com News about the disruptive protocols emerging today.

Image Credits: Shutterstock, Pixabay, Wiki Commons

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More