The BTC Fear and Greed Index recently hit a 23 mark and while the price of Bitcoin is still bleeding, analysts are certain that this is a good sign. According to his ‘math’ – more fear means more greed and the levels right now are crucial for this.
Despite the latest Bitcoin news showing a lot of drops over the past few days, many in the crypto community remain optimistic. Some even say that big retracements are normal. According to one analyst named Tuur Demeester, the overall Bitcoin uptrend started in 2015 and is still intact.
One major analyst named Peter Brandt supports him. The legend of the traders’ world says that all so-called bulls must be purged on Twitter so that the market can have a proper buy signal and push the price of the leading cryptocurrency towards the $50,000 region. The crypto mogul did not comment the BTC Fear and Greed Index.
Someone who did, though, was the analyst with a nickname @CryptoMichNL who said that this index has dropped with fear rising 23%. According to his tweet, a big growth of fear in this index is good. This is because as fear grows and the BTC price drops heavily, major investors (known as gain hunters) tend to follow fear of the market majority and start their buying.
I like extreme fear. pic.twitter.com/qCQOghIEmH
— Crypto Michaël (@CryptoMichNL) November 23, 2019
The BTC Fear and Greed index, according to him, affects the price positively. The same analyst has before this stated that Bitcoin is going through the 0.618-0.65 Fib level retrace which is “often seen in uptrending markets.”
The 0.618-0.65 Fibonacci level retrace.
Often seen in up trending markets. However, seems to believe as something terrible after such a heavy drop (while daily is massive).
Also seen;
In 2016 first retracements at beginning of bull & Chinese 2017 retrace. pic.twitter.com/4pS73d7Yz0— Crypto Michaël (@CryptoMichNL) November 22, 2019
The analyst went on to observe that a similar retrace was happening in 2017 when China originally imposed its crypto ban.
Meanwhile, besides the BTC Fear and Greed Index, analysts and crypto moguls are turning back to other key milestones from the past. The co-founder of Litecoin named Xinxi Wang reminded his followers that the 2017 bull run started exactly after China made a move and banned all ICOs, Bitcoin and crypto exchanges.
Last bull run was immediately after China's crackdown of crypto exchanges. What will happen this time?
— Xinxi Wang (王新喜) (@TheRealXinxi) November 22, 2019
Yesterday, China ignited a new war against crypto exchanges, which many see as a possibility for new bullish moves. No one knows how the market will react this way – but we will certainly see the reaction soon.
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