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The Matrixport Fear and Greed Index soared from 10 points to 93 in just a week. Typically, such indicators indicate that the Bitcoin rate has reached a local peak.
Index Algorithm Greed & Fear is calculatingmessages, forecasts and other reactions of market participants. When the indicator drops below 10 points, experts speak of “extreme fear,” and if it is above 90, they speak of “extreme greed.” If you are afraid, it is time to buy bitcoins, and if the market is too greedy, then it is better to sell.
“Our index has reached incredible levels inin record time. For short-term traders, it would be advisable to lock in a certain level of profit,” says Matrixport head of research and strategy Markus Thielen.
The analyst warns: Bitcoin may still rise in the short term - the 21-day moving average has reached only 50 points, so the value of the asset may increase.
Previously, a popular cryptocurrency analyst under the nickname Pentoshi said that Bitcoin’s growth may well continue, and its rate may reach $32,500, the maximum value since May 2022.