Crypto Fear & Greed Index
The crypto market behavior is very emotional. People tend to get greedy when the market is rising (FOMO) and they often sell their coins in irrational reaction of seeing red numbers. The Fear & Greed Index helps you stay objective.
Problems it solves
Irrational Decision Making
Provides a cold, hard number to counter the emotional highs and lows of the market.
Identifying Market Extremes
'Extreme Fear' is often a sign of a market bottom, while 'Extreme Greed' often precedes a correction.
Sentiment Aggregation
Combines data from volatility, market volume, social media, dominance, and trends into a single score.
How to use correctly
1. Check the daily score (0-100). 0 means 'Extreme Fear' and 100 means 'Extreme Greed'.
2. Look for the trend—is sentiment getting greedier or more fearful over the last week?
3. Use it as a contrarian indicator: 'Be fearful when others are greedy, and greedy when others are fearful' (Warren Buffett).
4. Combine with technical analysis. A high RSI and 'Extreme Greed' is a stronger sell signal than either alone.
Limitations
- ✕The market can stay in 'Extreme Greed' for weeks during a powerful bull run.
- ✕It is a lagging indicator based on historical data points from the last 24-48 hours.
- ✕Sentiment data can be noisy and manipulated by bot activity on social media.
Best For
Casual investors and swing traders who want a quick pulse-check on the market's psychological state.