The Fear and Greed Index is a measure used to gauge investor sentiment and stock market movements. The index was developed by CNN Business and is based on the logic that excessive fear can drive stock prices down, and excessive greed can have the opposite effect. The index can help market participants understand market sentiment and control emotions, as well as make decisions.
The Fear and Greed Index produces a number between 0 and 100, with 1 indicating extreme fear and 100 indicating extreme greed. A score of 0 to 49 indicates that the market is undervalued and oversupplied, which can be a good time to buy. A score of 50 to 100 indicates that cryptocurrencies are overvalued and may be in the midst of a bubble, which can be a sign that the market could correct in the near future.
The Fear and Greed Index is calculated using several metrics, including volatility, market momentum and volume, as well as social media sentiment.
if you look at it from here, it seems that the market has entered a phase of oversold, too many people are afraid. this is a good move for whales to fire funds for bullish momentum, due to sufficient fuel availability 🚀🚀🚀🚀