Cryptocurrency markets have a dynamic structure that can experience sharp fluctuations depending on investor sentiment. The Fear and Greed Index is used to measure this changing mood and analyze investor psychology.
🔴0-24 (Extreme Fear): The market is in great uncertainty and panic. People tend to sell their assets due to fear. However, these periods can often be times when bottoms are formed and offer opportunities for long-term investors.
🟠25-49 (Fear): There is still hesitation in the market, but investors are not completely panicked. It is usually a period when prices tend to fall and buyers are cautious.
🟡50-74 (Greed): Investors have begun to trust the market, and the appetite for buying has increased. Positive news pushes prices up and the FOMO (fear of missing out) effect begins to be seen.
🟢75-100 (Extreme Greed): There is great enthusiasm in the market. People buy aggressively in anticipation of quick gains. However, these periods can often lead to bubbles and sharp corrections. #FearIndex $BTC
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