Why You Shouldn’t Buy Crypto When Greed Takes Over
Today, the Fear & Greed Index shows 73/100 — that means the market is deep in "Greed" territory. At first, it might seem like the perfect time to buy. But history tells a different story.
Here’s why it’s risky:
1. Herd Mentality: When everyone is buying, the fear of missing out (FOMO) kicks in. This pushes prices too high and often leads to sharp corrections. Just look at the chart — every peak in greed is followed by a drop.
2. Buy Fear, Sell Greed: This is one of the oldest rules in investing. But people still get it wrong. It’s not about picking the best asset — it’s about timing and staying calm.
3. History Repeats: Since mid-2023, we’ve seen clear cycles — greed is followed by fear, and vice versa. Those who bought during fear often ended up in profit.
Bottom line: Real opportunities show up when people are scared, not when everyone is excited. In investing, staying cool matters more than following the hype. NFA.
#investing #crypto #financialliteracy #investorpsychology #fearandgreed #finance #btc