Bitcoin market sentiment recently climbed to its strongest reading since March 2024 before starting to cool, according to CryptoQuant analyst Darkfost. He said the rally in BTC pushed his tracked sentiment gauge above 89/100 at one point, placing it in the "extreme greed" zone. The indicator combines multiple data sets, including the Fear & Greed Index, and runs from -100 to +100, with the two ends representing extreme fear and extreme greed. Darkfost said periods of very optimistic or very pessimistic sentiment can often serve as signals of a possible trend turning point. He added that as the earlier wave of market euphoria fades, the indicator is moving back toward more normal levels, while Bitcoin is still trying to hold its current price range.
Bitcoin investor sentiment climbed to its strongest level since March 2024 after the recent price rise, according to CryptoQuant analyst Darkfost on Sept. 12. He said the market sentiment indicator he tracks briefly moved above 89/100, pushing it into the "extreme greed" zone.
Darkfost said the indicator combines several data points, including the Fear & Greed Index, and ranges from -100 to +100. Those two ends represent extreme fear and extreme greed, respectively.
He said that when market sentiment becomes highly optimistic or highly pessimistic, it can often signal a possible turning point in the trend. As the earlier bout of market euphoria fades, the sentiment gauge is now falling back toward more normal levels, while Bitcoin is still trying to defend its current price range.
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