Bitcoin (BTC) bulls have reason to celebrate, as a classic indicator emerges from the longest hyperbearic phase in its history.
According to the data last updated on April 27th The Crypto Fear Greed Index reached its lowest possible “extreme fear” value after seven weeks.
Who is afraid of the big bad “bear”?
The event has been a record since the indicator started in 2018, underscoring the impact of coronavirus fears on crypto markets.
The Fear and Greed Index is a number from 1 to 100 that analysts form from a basket of factors such as volatility, market volume and social media activities.
The higher the value is towards 100, the more careful investors should beThis implies that the markets are overly enthusiastic and likely to catch up.
“With our Fear and Greed Index, we are trying to keep you from your own exaggerated emotional reactions,” summarize the developers of the tool on their official website.
At press time on Monday, the index was 28, which was considered “fear”, compared to 21 the day before. By comparison, the corresponding metric for traditional markets and stocks is currently 40, also “fear”.
Crypto Fear Greed Index. Source: Alternative.me
Bitcoin integrated damage control
Fear Greed is just one of the positive signs that Bitcoin investors are welcoming this week.
As reported by Cointelegraph, strong technical fundamentals have returned, complementing a 10% price increase that surprised many at the end of last week.
As such, Bitcoin has managed to reverse the negative effects of the corona virus, unlike Fiat, without the need for outside intervention.
The focus is now on the next halving of the block reward, which is arguably the most anticipated in Bitcoin history.