According to the Alternative.me portal, the index of fear and greed of the cryptocurrency market at the beginning of the second half of October was 52 points, which generally means a neutral level of optimism among the majority of investors.
The balanced state of the index demonstrates that the majority of digital asset holders have coped with the panic in the third quarter of 2023 and have begun to show readiness to accumulate assets.
The index takes into account: volatility factors (25%), market dynamics/volume (25%), social media activity (15%), dominance (10%), Google trends (10%) and survey results (15%). Little by little, the level of greed in the crypto market begins to increase.
Alternative experts remind: the behavior of crypto investors is very emotional. People tend to become greedy when the market rises, leading to FOMO (fear of missing out). Additionally, people often sell their assets due to an irrational reaction. According to analysts, a deviation in the indicator towards fear may be a sign that investors are too worried and are ready for sales. When investors get too greedy, it could mean the market is headed for a correction..
Source: Cryptocurrency
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