18 days ago on March 28, the Crypto Fear and Greed Index tapped the “greed” position, scoring a 60 for the first time in four months. Since that day, bitcoin has lost more than $7,500 in USD value, and hit a low of $39,200 per unit on April 11. The downturn has pushed the Crypto Fear and Greed Index back down to the “extreme fear” position with a score of 22.
Crypto Sentiment Index Slides Towards ‘Extreme Fear’, USD Value of Bitcoin Is Down 35.7% YTD
On Friday, April 15, 2022, the price of bitcoin (BTC) has consolidated for now, after hitting a low four days ago. On Friday, BTC’s 24-hour range was between $39,823.77 and $40,709.11 per unit, with around $22 billion in global trading volume.
Bitcoin is down 7.2% this past week and two-week statistics show the leading crypto asset has lost roughly 11.3%. Year-to-date, bitcoin’s price against the U.S. dollar is 35.7% lower than a year ago today.
While bitcoin’s market capitalization on Friday is around $767 billion, it represents 38.91% of the current $1.97 trillion crypto-economy. Today’s best trading pair with BTC is tether (USDT) with 60.88% of all trades worldwide. Tether is followed by USD (12.27%), BUSD (7.88%), JPY (4.09%) and KRW (3.28%).
On April 15, the Crypto Fear and Greed Index tapped the “extreme fear” position and has a current score of 22. Yesterday, it was 28 which represents “fear” and the week prior, the score was 37, which also means “fear.”
The Crypto Fear and Greed Index takes market sentiment and boils it down to a simple number and description. Sentiment indices are also used in traditional financial markets. Financial firms, universities, and media organizations such as CNN, University of Michigan, Nasdaq’s ISEE Index, and many others use these sentiment indexes to gauge the state of the market.
Bitcoin is the ninth-largest global asset today, in terms of market capitalization, above Berkshire Hathaway’s market valuation ($760.36B), and below Tesla’s capitalization ($1.018T).
The last time the Crypto Fear and Greed Index hit 22 was on March 22, which is 24 days ago. The Crypto Fear and Greed Index hosted on alternative.me explains that extreme fear and greed can have two meanings.
“’Extreme fear’ can be a sign that investors are too worried. That could be a buying opportunity,” the website explains. “When Investors are getting too ‘greedy,’ that means the market is due for a correction.”
