Question n° 366 ·
What is the Fear & Greed Index and how did its change from extreme fear to fear reflect Bitcoin investor mood?
- The Fear & Greed Index records trading volumes and its change indicates larger transaction but not investor emotional shifts in Bitcoin
- The Fear & Greed Index calculates historical Bitcoin returns and its shift from extreme fear to fear reflects improved price expectations
- The Fear & Greed Index measures market emotions between fear and greed and its shift shows rising optimism among Bitcoin investors Bonne réponse
- The Fear & Greed Index is a momentum indicator and its move from extreme fear to fear signals a bullish reversal
Pourquoi est-ce la bonne réponse?
This is correct because the Fear & Greed Index aggregates data such as volatility, market momentum, and social media trends to gauge whether investors are feeling fearful or greedy. A move from Extreme Fear to Fear means that although investors are still wary, they are gradually becoming less scared and more open to buying Bitcoin. Beginners should understand that this shift signals growing confidence and a better overall sentiment toward Bitcoin's price outlook.