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HomeNewsCrypto greed index hits highest stage since Bitcoin’s $69K ATH

Crypto greed index hits highest stage since Bitcoin’s $69K ATH

The Crypto Concern and Greed Index — a significant software monitoring the market sentiment in cryptocurrency markets — has hit highs not seen since Bitcoin reached its all-time highs (ATH).

In line with information on the web site Various.me, the Crypto Concern and Greed Index surged as excessive as 79 on Feb. 13, reaching its highest stage since mid-November 2021, when the Bitcoin (BTC) worth peaked at $69,000.

The newest spike of greed within the Crypto Concern and Greed Index got here shortly after Bitcoin handed $50,000 on Feb. 12. The cryptocurrency has been seeing a strong rally over the previous few months, including about 13% to its worth year-to-date, in response to information from CoinGecko.

Crypto Concern and Greed Index from February 2018 to February 2024. Supply: Various.me

Hitting 79 factors for the primary time in additional than two years means the Crypto Concern and Greed Index has moved into the “excessive greed” zone, which occurs when the worth of the index exceeds 74.

The Crypto Concern and Greed Index beforehand touched the acute greed rating of 76 on Jan. 11 amid the hype across the launch of spot Bitcoin exchange-traded funds (ETFs) in america.

The continued Bitcoin rally and the brand new spike of greed comes a month after U.S.-based spot Bitcoin ETFs launched, probably signaling that short-term promoting related to the ETF approval information is over. In late 2023, ARK Make investments CEO Cathie Wooden predicted that some traders would “promote the information” of spot Bitcoin ETF approval within the brief time period.

“That will be very short-term as a result of what we predict goes to occur right here is that the SEC goes to be giving the spot Bitcoin ETF the inexperienced mild for institutional traders to take part,” Wooden said.

Associated: Bitcoin appears to be like to surpass Meta in whole worth as crypto climbs

The Crypto Concern and Greed Index is calculated primarily based on indicators that influence the conduct of merchants and traders, together with Google Tendencies, surveys, market momentum, market dominance, social media and market volatility. The index contains 25% of market volatility, 25% of market momentum and 15% of social media tendencies and different indicators.

Regardless of the Crypto Concern and Greed Index offering insights into the state of the crypto market, particular person merchants or traders are advisable to nonetheless do their analysis in regards to the instruments appropriate for his or her funding targets.

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