Fear and Greed Index

The Crypto Fear and Greed Index is a sentiment indicator that condenses the market’s emotional state into a single number, typically from 0 (extreme fear) to 100 (extreme greed).

How it works

The index blends several inputs — such as price volatility, market momentum, trading volume, surveys and social-media activity — into one score. A low reading means investors are fearful and prices may be under pressure; a high reading means optimism is running hot. It measures mood, not value.

Why it matters

Many investors treat it as a contrarian signal, on the idea that extreme fear can mark over-selling and extreme greed can mark over-buying. It is a rough sentiment snapshot, useful as context rather than a standalone trading rule.

Example

After a sharp sell-off, the index often drops into “extreme fear,” while a strong rally can push it toward “extreme greed.”