The Bitcoin exchange rate has taken in the last few weeks to travel and was able to USD, not only the 10,000 mark permanently by breaking. Also, the brand of $ 12,000 was exceeded several times easily. Currently, the BTC rate 11.850 USD and scratching so back to this brand. The question is whether the $ 12,000 can be maintained in the next rise in the Bitcoin exchange rate permanently. As a result of these price movements in the Bitcoin Fear & Greed Index shot up in height, and high is on a new year. So positive, the rate of development is so exciting is the question of how long the Momentum will stop. Indicates the Fear & Greed Index on a Crash?
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Bitcoin Fear & Greed Index, year-on-year high
The Bitcoin Fear & Greed Index is now a very well known metric, which captures the mood of the BTC and the Crypto – market, and a Overheating or cooling of the market can signal.
In consequence of the extremely positive development in the Bitcoin rate, the Fear & Greed Index has climbed today to the current level of 84, which is the Index in the “extreme greed” (extreme Greed) is. Also yesterday, the Index was already moving in this area, but only with a value of 78. How rapidly this development was shown by the fact that the Bitcoin Fear & Greed Index was a month ago, still in the neutral range at a value of 41.
But not only in the short term, the current value of 84 is exceptionally high. The entire Bitcoin Fear & Greed Index, since the beginning of 2018. Since then, he was Index only in mid-2019 is higher than the Bitcoin shot rate up to 14,000 USD in the tip. At the time, he reached a maximum value of 95.
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Of course Crash is coming now?
As mentioned at the beginning of the Bitcoin Fear & Greed Index reflects the mood of the market and aggregated data from different areas. The question is ask a lot of Fans to the positive development of the last few weeks, of course, is whether the Momentum can continue, or due to the rapidity of the development of a Crash is imminent? On the side of the Fear & Greed Index says:
Extreme anxiety can be a sign that investors are worried about. This could be a buying opportunity.
If the investors are greedy, it means that the market expects a correction.
When it comes to the evaluation of the Creator of the Bitcoin Fear & Greed Index, that could happen in the near term, a correction, because the Index is currently located in the area of “extreme greed” and the market could be overheated. However, it must be really so?
Of course, a correction in the Bitcoin price is possible at any time. Nevertheless, the above evaluation must be qualified somewhat, because it is too flat. In the aftermath of every positive development, there needs to be a correction in the Form of a crash. Just the rise in the last few weeks was always associated with intermediate periods of Consolidation, from a few days, as is currently the $ 12,000.
In summary, the Bitcoin Fear & Greed Index indicates that the market is very bullish, and some investors maybe fall victim to the FOMO. A correction is definitely in the realm of the Possible. Nevertheless, the development of the BTC price is stable and there are enough reasons that the Momentum can be maintained.
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