Crypto Fear & Greed Index Hits ‘Greed’ Zone as Market Sentiment Improves

• The Crypto Fear & Greed Index rise to 61, indicating a move from Neutral to Greed.  
• Rising market cap and trading volumes drives growing confidence among crypto investors.
• Bitcoin’s dominance continues at 53.49%, solidifying its role in shaping market sentiment.

The Crypto Fear & Greed Index, a widely followed metric to track market sentiment in the crypto sector, hit 61 on September 27, up slightly from the previous day’s score of 50.

This move shifted the index from the Neutral zone into the Greed region, reflecting rising confidence among market participants. The index uses a scale from 0 to 100, where 0 represents extreme fear and 100 indicates extreme greed.

Factors Influencing the Crypto Fear & Greed Index

The Crypto Fear & Greed Index considers six main factors: market swings, trading momentum and volume, social media activity, survey results, Bitcoin’s market share, and Google search trends.

As late August turned into early September, the index hovered near 30, signaling a prevailing sentiment of apprehension among traders. This period was followed by a slow but steady recovery, with the index constantly rising throughout September.

Read also: How to Trade Crypto During Periods of Extreme Fear and Greed

The data shows an increase starting in mid-September as hopes in the market improved. By September 27, the index had reached 61, confirming that greed had taken hold among market participants.

Positive Market Changes Drive Index Upward

The rise in the Crypto Fear & Greed Index corresponds with positive changes in the crypto market. The total market capitalization of all crypto assets currently stands at $2.42 trillion, showing a 1.69% growth over the past 24 hours.

Source: CryptoQuant

Trading volume has also increased, with 24-hour spot volume reaching $52.74 billion and a rise of 4.01% during the same period.

Read also: Is Bitcoin Gearing Up for A Bullish Q4? The Signs Are There

Bitcoin’s Dominance Continues to Grow

Bitcoin remains the leading digital token, holding a 53.49% share of the total market cap. Over the past month, the token’s dominance has fluctuated between 53% and 54.8%, with an upward trend occurring between September 13 and 19.

This goes on to show the BTC’s impact on shaping economic trends. Although there has been some instability, Bitcoin’s market capitalization is currently valued at $1.29 trillion, up 1.63% in the last day.