The crypto market remains in deep fear as Bitcoin continues to struggle

The crypto market remains in deep fear as Bitcoin continues to struggle

The data shows that the cryptocurrency market has been deep in fear recently as the price of Bitcoin has struggled, but sentiment is still not within extreme fear.

The Crypto Fear and Greed Index shows that investors are currently scared

According to the latest weekly report from Arcane Researchcrypto market sentiment has remained steady in deep fear territory over the past week.

index of fear and greed” is an indicator that tells us about the general mood among investors in the crypto market.

The metric uses a numerical scale ranging from zero to one hundred to represent this feeling. Any values ​​on the upper side of 50 indicate a greedy market, while those below the mark indicate that investors are scared.

Indicator values ​​near the end of the range indicate sentiments “extreme greed” (more than 75) and “extreme fear” (less than 25).

Now, here’s a chart showing the trend of the crypto fear and greed index over the past year:

The value of the metric seems to have come down in recent days | Source: Arcane Research's The Weekly Update - Week 34, 2022

As you can see in the chart above, the Crypto Fear and Greed Index has been climbing for several weeks and has almost entered greed territory as the prices of coins like Bitcoin have risen.

However, with the end of the rally, market sentiment immediately fell back into the depths of fear, showing that investor mentality was quite weak to begin with.

The current value of the indicator is only 27, which is only two points away from the territory of extreme fear. This is a slight decline over the past seven days as the metric then had a value of 28.

The crypto market remains in deep fear as Bitcoin continues to struggle

Looks like the value of the indicator was 42 last month | Source: Arcane Research's The Weekly Update - Week 34, 2022

However, the report points out that at the same $20,000 bitcoin price lows as it is now, market sentiment was much worse in June as it was firmly within extreme fear.

This implies that investors are now more comfortable at these price levels than they were a few months ago.

BTC price

At the time of writing, Bitcoin price hovers around $20.3K, down 5% over the past week. Over the past month, the cryptocurrency has lost 14% in value.

The chart below shows the coin’s price movement over the last five days.

The crypto market remains in deep fear as Bitcoin continues to struggle

The value of the crypto has been mostly moving sideways during the past few days | Source: BTCUSD on TradingView
Featured image from Peio Bty on Unsplash.com, charts from TradingView.com, Arcane Research



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