Markets become less fearful as Bitcoin, Dogecoin, and other altcoins rally
As shown by the Crypto fear and the Greed Index, Bitcoin bounces over $ 48,000 following a marginal improvement in market sentiment. Dogecoin also marked slightly higher in the past 24 hours as the altcoin market recovered its losses. Most tokens are trading green at press time.
Bitcoin’s fear and greed index is 27 ~ fear
Current Price: $ 47,069 pic.twitter.com/XNPK7JmmdO
– Bitcoin Fear and Greed Index (@BitcoinFear) December 21, 2021
Bitcoin price surged more than 7% to mark intraday highs at $ 49,010, according to CurrencyMarketCap data. Alternative cryptocurrencies or ” altcoins ” were up as well, with Ethereum rising nearly 7% to over $ 4,000 and XRP up about 4% to $ 0.886.
Dogecoin, the meme-inspired cryptocurrency, is up 4.7% in the last 24 hours to the current price of $ 0.17. The top 20 performers include Avalanche (AVAX) and Polygon (MATIC), which increased 15.73% and 11.22% in the last 24 hours.
As a chain analysis company Santiment grades, ” As traders seek clarity on whether to place leveraged longs or shorts to end the year, we’ve seen that lately the trend has been mostly for people to bet AGAINST the #cryptocurrency markets. If financing rates show extended short levels, prices tend to go up. “
This could imply that a “short-term contraction” could drive a price increase in the short or medium term.
Traders ‘less scared’ as market mood improves
As BTC’s price action turned down, sentiment caught up as the spot price complemented the bearish signals from the markets. The general feeling As measured by the Crypto Fear & Greed Index it changed to “extreme fear” the week before.
At press time, the index measured just 27/100, which characterizes “fear”, a slight uptick from yesterday’s “extreme fear”. The sharp drop contrasts with the behavior of the previous month, during which the index remained in “neutral” territory. .
Bitcoin is down nearly 30% since it peaked near $ 69,000 on November 10.