Bitcoin Fear and Greed Index Nears 'Extreme Fear' Zone, Will Price Rebound
U.Today - The Bitcoin Fear and Greed Index continues to remain in the fear zone, reflecting investors' apprehension about the future of the world's largest cryptocurrency.
While Bitcoin has been trading in a stable price range, the recent 3% drop was a direct response to the Federal Reserve's interest rate decision.
Bitcoin Enters Fear Phase
Although Bitcoin is currently facing skepticism, many experts believe that when the cryptocurrency enters the fear zone, especially extreme fear, it could be an attractive buying opportunity for adventurous investors.
The index is currently at 32, up slightly from 31 yesterday. Last week, the index moved from neutral to fear, falling from 49 to 46. In late February and early March, the index fell even further, reaching 10 and 15, respectively, which correspond to the extreme fear zone.
Currently, Bitcoin is trading around $84,380 after falling nearly 3% since March 20. That day, the Fed decided to keep interest rates unchanged, contrary to market expectations of rate cuts in 2025.
Bitcoin ETFs attract strong cash flows
According to analysis reports, Bitcoin ETFs have attracted nearly $1 billion in investment this week. Specifically, spot ETFs have received cumulative inflows of up to $785.6 million. In particular, BlackRock's IBIT fund once again led the way with the largest increase, attracting 6,342.47 BTC equivalent to $535.6 million, affirming its position in the ETF market.
These impressive figures show the growing interest in Bitcoin and crypto-related investment instruments, despite the market's apprehension.
Next Stock Investment Opportunity?
With the volatility of the crypto market and the rapid recovery of some stocks in 2024, many investors are looking for new profit opportunities. Many companies and stocks have recorded significant gains, and opportunistic investors can build an effective financial strategy based on a potential stock portfolio.
In 2024, experts found two stocks that increased by more than 150%, along with four others that increased by more than 30% and three others that increased by more than 25%, bringing impressive profits to investors who dared to take risks.