Definition ∞ The Crypto Fear & Greed Index is a market indicator measuring prevailing sentiment in the cryptocurrency market. This index aggregates multiple data sources, including volatility, market volume, social media sentiment, dominance, and Google Trends data, to produce a single numerical value. It ranges from “Extreme Fear” to “Extreme Greed,” offering a quick assessment of collective investor psychology. The index serves as a tool for market participants to gauge potential overbought or oversold conditions.
Context ∞ Traders and analysts frequently reference the Crypto Fear & Greed Index in their assessment of market cycles and potential price reversals. News articles often cite its readings to explain broader market movements or investor behavior during periods of significant price swings. Its utility lies in providing a contrarian perspective, suggesting that extreme fear might present buying opportunities and extreme greed might signal a market top.
Blockchain Knowledge
Cryptocurrency Foundation
Cryptospace Newsfeed
