What Is the Fear and Greed Index?
It shows whether investors are feeling:
Fear – market is nervous, prices may fall.
Greed – market is excited, prices may rise (or overheat).
The score ranges from 0 to 100:
Score Sentiment
0–24 Extreme Fear
25–49 Fear
50 Neutral
51–74 Greed
75–100 Extreme Greed
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🔍 How It's Calculated (Crypto Version)
For crypto (like Bitcoin), it's based on:
Volatility (high = fear)
Market momentum
Social media activity
Surveys
BTC dominance
Google Trends
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Why It Matters
Extreme fear might signal a buying opportunity (market is oversold).
Extreme greed might signal a coming correction (market is overheated).
Helps traders avoid emotional decisions and act with more discipline.