Bitcoin Market Plunges Into Extreme Fear, How Scary Does It Get?

    Data reveals the Bitcoin market sentiment has remained deep in excessive concern this week as broader monetary markets additionally get fearful.

    Bitcoin Fear And Greed Index Shows A Value Of 12 This Week

    As per the newest weekly report from Arcane Research, the broader monetary market is at its highest stage of concern because the COVID crash in 2020.

    The “fear and greed index” is an indicator that tells us in regards to the common market sentiment amongst Bitcoin buyers proper now.

    The metric shows this sentiment utilizing a numeric scale that runs from one to hundred. All values of the index above “50” suggest a sentiment of greed, whereas all these under the cutoff point out a fearful market.

    When the indicator has values in direction of the tip of the vary, that’s, above 75 or under 25, the market is in a state of maximum greed or excessive concern.

    Some buyers imagine that it’s finest to purchase when the market is extraordinarily fearful as bottoms have traditionally tended to occur throughout such intervals.

    Similarly, tops have fashioned prior to now whereas the market has gone by excessive greed so such occasions could also be splendid for promoting.

    Related Reading | Bitcoin Whale Breaks 8 Year Long Silence With $30 Million Worth Of BTC Transfer

    Contrarian investing is a buying and selling approach that follows this concept. To quote Warren Buffet, “Be fearful when others are greedy, and greedy when others are fearful.”

    Now, here’s a chart that reveals the pattern within the Bitcoin concern and greed index over the previous yr:
    Bitcoin Fear And Greed Index

    Looks just like the sentiment out there has plummeted lately | Source: Arcane Research's The Weekly Update - Week 19, 2022

    As you possibly can see within the above graph, the Bitcoin concern and greed index has a worth of 12 in the mean time, indicating a sentiment of maximum concern.

    The crypto market isn’t the one one scared, the broader monetary markets have additionally been in a state of maximum concern for some time now.

    Related Reading | Bitcoin Marks Seven Consecutive Red Candles, Paints Gruesome Picture For Market

    The market has been observing the very best excessive concern values because the crash again in 2022 because of the onset of COVID-19.

    Currently, it’s unclear if the sentiment has bottomed out or if Bitcoin will bleed extra within the coming days, plunging the concern and greed index additional.

    BTC Price

    At the time of writing, Bitcoin’s price floats round $30.4k, down 3% within the final seven days. Over the previous month, the crypto has misplaced 24% in worth.

    The under chart reveals the pattern within the worth of the coin during the last 5 days.

    Bitcoin Price Chart

    It looks like the worth of the coin has been transferring sideways in the previous couple of days | Source: BTCUSD on TradingView
    Featured picture from, charts from, Arcane Research

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