Bitcoin’s price has held steady above $90K, but the market sentiment is slipping. As of April 23, the Crypto Fear & Greed Index peaked at 72 but dropped to 60 by April 25. Analysts are divided; some express concern about the rally’s sustainability while others remain optimistic about future gains. The altcoin market continues to lag behind Bitcoin, showing a preference for the leading cryptocurrency.
Bitcoin recently managed to maintain its price above $90,000, and guess what? The crypto market sentiment peaked with the Crypto Fear & Greed Index hitting a score of 72, marking it as a time of ‘Greed’ as of April 23. Yet paradoxically, this feeling of euphoria is beginning to fade—analysts are now raising eyebrows over how sustainable this rally might be. The index dipped to 60 by April 25 even while Bitcoin’s price remained relatively steady, which raises questions.
This index had not seen such high numbers since February 4, a time marred by US tariffs and a dive in Bitcoin’s price. For context, Bitcoin had recently bounced back to this key level for the first time since early March. But, after a flurry of trading activity that saw Bitcoin oscillating between $91,800 and $94,304, the enthusiasm is easing. The Fear & Greed Index reflects this shift, falling sharply in just a couple of days.
Caution is in the air. Markus Thielen, who leads research at 10x Research, has expressed skepticism, noting that the stablecoin minting hasn’t shown the increased activity one might expect during a robust rally. He’s not ready to buy into the hype just yet. Meanwhile, some analysts from Bitfinex described Bitcoin’s strength against equities as potentially valid but still unproven in the long haul.
On a brighter note, there are bulls in the arena too. Michaël van de Poppe from MN Trading Capital suggested that if buyers step in, that could propel Bitcoin further towards breaking previous all-time highs. And as this discourse continues, the altcoin scene is lagging, as evidenced by CoinMarketCap’s altcoin season index, which scored a mere 17 out of 100. Bitcoin’s dominance continues to linger around 64.39%.
The sentiment around Bitcoin has noticeably improved since it dropped into the mid-$80,000 range. Additionally, an analytics report from Santiment highlighted recently that social media discussions surrounding Bitcoin have turned bullish again. Adding to the positive outlook, crypto expert Trader T mentioned that as of April 24, US-based spot Bitcoin ETFs experienced substantial inflows, their best week in the last few months, rallying up to $2.6 billion in the last four trading days.
It’s worth reiterating, though, that this article isn’t offering investment advice. Investing comes with risks, and anyone thinking about entering this volatile space should definitely do their homework before making decisions.
