There are many methods through which one can determine whether or not the cryptocurrency markets will bounce back shortly. The Crypto Fear and Greed Index, for example, is worth looking into, although it needs to be taken with a few grains of salt.
It is interesting to note how there is such an index in the cryptocurrency space.
The Bitcoin Bounce is Kicking in
Considering how Bitcoin and altcoins are incredibly volatile and unpredictable, one has to wonder how such metrics will play out in the long run.
Currently, the Index still shows investors and traders lean toward “Fear” rather than “Greed’, which can have multiple consequences.
Under normal consequences, the “Fear’ would lead to further price declines.
This coronavirus crisis, however, is anything but a normal situation.
Given how the “Fear’ momentum has been in place for multiple weeks, one has to wonder what the future will hold.
It seems as if the accumulation period for Bitcoin has come to an end in recent days.
For investors, there have been ample opportunities to buy Bitcoin and altcoins at a lower price level.
That situation will come to an end eventually, as even the stock markets are bouncing back all of a sudden.
This week may prove very interesting in terms of market momentum for all currencies.