Crypto Fear and Greed Index (CFGI) is used to detect “overbought” or “oversold” state in the cryptocurrency markets for Bitcoin and other altcoins. If you are a cryptocurrency trader, you have to take care of so many things. You know, the cryptocurrency market's behavior is generally very emotional so this tool can be very useful for traders if they are in FOMO. This index will be updated once in a day to exhibit values 0-100.
To know more about how this index is determined, visit their official website and to check updated information for this index, check the real-time updated following image.
Let's see how you can get benefits from this index.
Extreme fear(CFGI-0):-It indicates investors are too worried to sell their holdings. It can be a buying opportunity for you.
Neutral(CFGI-50):-Neither oversold nor overbought state in the cryptocurrency markets, you might still hold your assets if CFGI exhibiting a value around 50
Too greedy(CFGI-100):-It indicates cryptocurrency overbought condition. You might sell your holdings to get benefits.