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What is the Greed Level of Bitcoin and Altcoin Investors? Reminiscent of October - Coin Bulletin
The Crypto Fear and Greed Index, which measures investor sentiment towards Bitcoin and the cryptocurrency markets, has returned to October levels with the recent drop in Bitcoin price towards the end of 2024.
Despite falling to 65 points with the December 30 update, the index still remains in the "greed" zone and has recorded its lowest level since October 15.
According to CoinGecko data, the price of Bitcoin is currently hovering around $93,700 and has experienced a 10.4% decline in the past 14 days. This situation has raised warnings of a potential larger selling wave as investors turn to stablecoins.
The Crypto Fear and Greed Index generally remained above 70 in November and December, with Donald Trump winning the US presidential election and many crypto-friendly politicians gaining ground in Congress. The index reached its peak at 94 points on November 22.
There may be fluctuations in the price of Bitcoin
The index is calculated based on signals that affect investor behavior, such as Google Search Trends, surveys, market momentum, market dominance, social media, and market volatility. Therefore, changes in market sensitivity are closely related to movements in the price of Bitcoin.
Markus Thielen, analyst and head of research at 10x Research, said some analysts expect a "timed parabolic move" ahead of Trump's inauguration, but predict a significant correction after that. Thielen took a different view, saying, "I expect volatility to increase soon."