$BTC Sentiment thermometer: Fear & Greed Index 57 (Greed), down 12 from yesterday.
A beginner asks: How is this index calculated?
Volatility and trading volume carry the most weight; a sudden spike in volatility is often counted as a sign of fear.
A sharp jump within a single day is often due to intense price swings the previous day. It’s also not unusual for things to return to their original range after a few days.
The same data can mean very different things in different market conditions, so don’t blindly apply any single rule.
#BTC
This is purely my personal opinion, not a basis for trading.
A beginner asks: How is this index calculated?
Volatility and trading volume carry the most weight; a sudden spike in volatility is often counted as a sign of fear.
A sharp jump within a single day is often due to intense price swings the previous day. It’s also not unusual for things to return to their original range after a few days.
The same data can mean very different things in different market conditions, so don’t blindly apply any single rule.
#BTC
This is purely my personal opinion, not a basis for trading.