Analysis

Crypto Fear and Greed Index Points to Bitcoin Price Path to $40K


Crypto worry and greed index has moved to the greed space forward of the upcoming Bitcoin choices expiry. Bitcoin value was buying and selling at $30,392 on Wednesday, the place it has been up to now few days. This value is a couple of factors beneath the year-to-date excessive of $31,478. At its peak, the coin jumped by greater than 104% from the bottom degree in 2022.

Worry and greed index factors to greed

The crypto worry and greed index has made a robust restoration up to now few weeks. It has moved from the worry zone of 41 to the greed space of 62. Because of this traders are getting modestly grasping helped by the current ETF information. The newest Bitcoin information got here on Tuesday when Constancy introduced that it had filed its ETF proposal with the SEC.

Buyers imagine {that a} spot ETF will result in extra demand for Bitcoin from institutional traders. Nonetheless, this view ought to be taken with a grain of salt since ProShares Bitcoin Technique ETF (BITO) has had modest progress up to now few years. It now has about $1 billion in belongings. Whereas BITO tracks Bitcoin futures, it has an in depth correlation with Bitcoin itself.

The worry and greed index factors to extra upside for Bitcoin since traders have a tendency to purchase it when there’s greed available in the market. Maybe, these positive factors will occur forward or after the upcoming Bitcoin choices expiry scheduled for Friday this week. 

Knowledge exhibits that almost all of those choices are calls with a strike value of about $30,000. This explains why Bitcoin has barely moved this week.

Bitcoin value prediction

An excellent technical evaluation might help you are expecting the following value motion of a cryptocurrency or different belongings. Turning to the every day chart, we see that Bitcoin is oscillating on the 50% Fibonacci Retracement degree. This is a vital degree that merchants have a look at.

On the identical time, this is a vital value because it was the very best level on April 14th. Most significantly, the coin has fashioned what appears to be like like a bullish pennant sample. Subsequently, there’s a chance that the worth will quickly have a bullish breakout as patrons goal the following key degree at $35,000. This value is about 15% above the present degree. A transfer above this degree will see it leap to the following resistance level at $40,000.

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