What is Crypto Fear & Greed Index?
1). Crypto markets are driven by emotions – People often make decisions based on feelings rather than logic.
2). Greed leads to FOMO (Fear of Missing Out): When prices go up, people rush to buy, afraid of missing potential profits.
3). Fear causes panic selling – When prices drop, people get scared and sell their coins, even if it’s not the best decision.
4). The Fear and Greed Index helps investors – It tracks the overall market mood to prevent emotional mistakes.
5). Key insights:
Extreme fear (low index value) may mean the market is overly worried, presenting a good buying opportunity.
Extreme greed (high index value) suggests the market is overconfident, and a price drop may be coming.
6). The Index ranges from 0 to 100 – 0 means "Extreme Fear," 100 means "Extreme Greed."
It’s a simple tool to help investors make better decisions instead of reacting emotionally.