【Blockchain Rhythm】On January 21, the crypto market sentiment experienced a significant fluctuation. The Fear and Greed Index rapidly dropped from 32 yesterday to 24, entering the “Extreme Fear” zone, contrasting sharply with last week’s average level of 48.
How is this index calculated? It actually includes six dimensions:
Volatility accounting for 25%
Market trading volume accounting for 25%
Social media buzz accounting for 15%
Market survey responses accounting for 15%
Bitcoin market dominance accounting for 10%
Google search popularity accounting for 10%
The index ranges from 0 to 100, with lower numbers indicating higher market fear. The current value of 24 suggests that traders’ risk sentiment has bottomed out, volatility has increased, trading volume has shrunk, and market discussion activity has noticeably declined. Such extreme fear often presents trading opportunities, but caution is advised regarding the potential for further downward movement.
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GateUser-1a2ed0b9
· 9h ago
The number 24 is really exciting. Is this the feeling of the bottom?
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LiquidationOracle
· 9h ago
24? Isn't this just a signal to buy the dip? History always repeats itself.
Wait, is this really the bottom, or is it going to keep dropping?
The index is falling so fast, it seems like no one dares to buy in.
Extreme panic can indeed create opportunities, but I'm more worried that there are still explosions waiting to happen.
From 32 to 24, a direct plunge within a day—my goodness, how fragile must this mentality be.
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MemeTokenGenius
· 9h ago
The number 24 is really scary, but we all know that this is the moment when the real hunters come out.
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Here comes extreme panic again. Every time they say it's an opportunity, but it still keeps falling. Heart tired.
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The combination of rising volatility and shrinking trading volume suggests that the bottom might not be in yet.
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The decline in social media buzz indicates that retail investors have basically given up. Big players should be eating now, right?
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The index dropped from 48 to 24. The speed of this reversal is a bit frightening. Can someone tell me when Bitcoin will stabilize for a while?
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Extreme panic is just waiting for that one phrase: "Now buying is just bottom-fishing, right?"
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All six dimensions are being pushed down. This time feels a bit different.
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24 points. Should I wait and see if it can break below 20? That's a bit greedy, indeed.
Market sentiment takes a sharp turn: the fear index drops to the extreme fear zone
【Blockchain Rhythm】On January 21, the crypto market sentiment experienced a significant fluctuation. The Fear and Greed Index rapidly dropped from 32 yesterday to 24, entering the “Extreme Fear” zone, contrasting sharply with last week’s average level of 48.
How is this index calculated? It actually includes six dimensions:
The index ranges from 0 to 100, with lower numbers indicating higher market fear. The current value of 24 suggests that traders’ risk sentiment has bottomed out, volatility has increased, trading volume has shrunk, and market discussion activity has noticeably declined. Such extreme fear often presents trading opportunities, but caution is advised regarding the potential for further downward movement.