📈 WINRATE ANALYSIS & MARKET SENTIMENT (FEAR & GREED)

⏰ Data period: 03/07/2024 → 28/06/2025 (361 days)

⚡ Average winrate by sentiment level

➡️ Extreme Fear – 42.29%

➡️ Fear – 43.65%

➡️ Neutral – 45.03%

➡️ Greed – 44.75%

➡️ Extreme Greed – 42.84%

🔍 Quick interpretation

➡️ Extreme Fear: Panic-driven trades reduce decision quality.

➡️ Fear: Caution leads to more selective and disciplined setups.

➡️ Neutral: Highest winrate – traders act rationally with balanced emotions.

➡️ Greed: FOMO increases, often leading to bad entries during reversals.

➡️ Extreme Greed: Winrate drops sharply – overconfidence invites bull-traps.

📉 Overall trend: winrate declines as market sentiment moves from Neutral to extremes.

🚀 Strategy suggestions by sentiment phase

➡️ Extreme Fear | Fear: Prioritize short-term setups with clear R:R. Look for confirmed reversal signals to accumulate early positions.

➡️ Neutral: Ideal time to test and scale systems. Gradually increase position size with both long and short opportunities.

➡️ Greed: Stay alert to FOMO. Wait for clean pullbacks. Use trailing stops to protect gains.

➡️ Extreme Greed: Capital preservation comes first. Reduce leverage, consider staying sidelined or prepare for short entries once reversal signals emerge.

📌 Conclusion

Market sentiment, as reflected by the Fear & Greed Index, strongly correlates with trading performance. Neutral and Fear phases tend to offer better conditions, while Extreme Greed and Extreme Fear often lead to poor decisions driven by emotions.

🎯 Always remember: “Calm in fear yields better returns than excitement in greed.”

#CryptoAnalysis #TraderMindset #MarketSentiment