The sentiment indicator known as Fear and Greed has surged to a new high of 69 in the Bitcoin market.
Analysts use a combination of data sources such as cryptocurrency volatility and social media messaging to calculate the index, which is divided into five categories ranging from extreme fear to extreme greed.
When the indicator is in the greed zone, buying BTC should be approached with caution, and the optimal time to buy is when the index falls below 25.
At 69, the current reading suggests that the market is heavily tilted towards greed. It’s worth noting that this is a significant increase from the end of March when the index was at 68, showing a consistent upward trend.
On Monday evening, April 17th, Bitcoin was trading at $29,810, experiencing a daily drop of 0.3%.
Earlier, analysts from Korean company CryptoQuant attributed the fall in the market price of Bitcoin below $30,000 to two futures market indicators: open interest rates and funding rates, which were discussed in detail.