Crypto 'Fear and Greed' Gauge Improves a Bit After Selloff
The crypto version, developed by alternative.me, seeks to establish if traders are too bullish (represented by “greed”) or bearish (“fear”), and takes several other factors like social media trends and Google search terms into consideration.
The index ranges from 0 (“extreme fear”) to 100 (“extreme greed”).
Furthermore, the seven-day volatility in Bitcoin hit the lowest level since early April while the 30-day volatility has remained elevated, Arcane Research noted.
Still, the analysts said they wouldn’t be surprised to see a somewhat “uneventful July after a hefty quarter in the crypto market and the summer kicking in.”
For Sylvia Jablonski, chief executive officer at Defiance ETFs, sentiment isn’t necessarily better for markets, with the Federal Reserve determined to boost rates on top of a growing list of crypto firms, lenders and hedge funds maimed by the downturn.
“Most investors feel pretty uncertain about investing in both crypto and markets right now,” Jablonski said by phone. “It’s probably going to be a while before we start to see some recovery.”
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