Bitcoin Fear and Greed Index Shifts to Neutral as BTC Dominance Climbs in Accumulation Phase

• Bitcoin Fear and Greed Index jumps to neutral (51) from fear (29), indicating stabilized investor sentiment.

• Decline in BTC selling pressure confirmed by analytics platforms, with Cumulative Volume Delta flattening post-October drop.

• BTC dominance rises 0.12% to over 55%, supported by $75 billion in spot volume and $2.3 billion market cap growth.

Discover how the Bitcoin Fear and Greed Index shift to neutral boosts BTC recovery. Explore dominance trends and accumulation signals for smarter crypto investing today.

What is the current status of the Bitcoin Fear and Greed Index?

The Bitcoin Fear and Greed Index has moved to a neutral reading of 51, marking a significant recovery from extreme fear levels earlier in the month. This shift, up 22 points from last week’s 29, follows a volatile period where the index fluctuated between greed at 74 on October 5 and extreme fear at 22 on October 17. The latest 24-hour jump from 40 to 51 underscores rebounding confidence as Bitcoin stabilizes above $115,000.

How has Bitcoin’s market dominance changed recently?

Bitcoin’s dominance has edged up by 0.12% to surpass 55% in the last 24 hours, according to data from Cryptorank. This rise aligns with Bitcoin settling at $115,566, bolstered by a 31.1% increase in spot volume to over $75 billion and a 2.76% market cap expansion to $2.3 billion. Historical trends from Coingecko show dominance at 57.55% over the past week, down 3.3%, and 56.21% in the last 30 days, down 1.9%. Lookonchain attributes this to growing investor confidence, though the metric has hovered sideways in the 54%-55% range since mid-October, maintaining 57.8% this week.

BTC dominance in the past month. Source: Cryptorank   

Frequently Asked Questions

What caused the recent plunge in the Bitcoin Fear and Greed Index?

The index dropped sharply from 71 (greed) to 24 (extreme fear) following Trump’s October 10 announcement on China tariffs, triggering $19 billion in crypto leveraged position liquidations. This event amplified market volatility, pushing Bitcoin to $107,000 on October 23 before the subsequent recovery.

Is Bitcoin entering an accumulation phase now?

Yes, Bitcoin shows signs of a silent accumulation phase as exchange selling pressure has significantly declined since early October. Analysts from CryptoQuant note that on-exchange reserves are dropping, with the 30-day netflow average indicating accumulation despite noisy daily inflows. This pattern, where investors hold assets off-exchange, often precedes upward momentum based on historical cycles.

Key Takeaways

• Neutral Sentiment Shift: The Bitcoin Fear and Greed Index at 51 signals balanced emotions, up from extreme fear, fostering a stable environment for recovery.
• Declining Selling Pressure: Glassnode data reveals flattened Cumulative Volume Delta since October 10, confirming peaked negative sentiment and subsiding sales.
• Potential for Momentum: CryptoQuant’s BCMI in the neutral zone suggests a mid-cycle correction; a rebound above 0.5 could lead to new highs, advising investors to monitor closely.

Conclusion

The transition of the Bitcoin Fear and Greed Index to neutral territory, coupled with rising BTC dominance and signs of accumulation, points to a stabilizing crypto market. Supported by insights from Glassnode and CryptoQuant, this phase reflects a cooling after recent volatility rather than a broader downturn. As Bitcoin’s MVRV remains undervalued at 1.8 and SOPR balances near 1.02, investors may soon see renewed expansion—stay informed to capitalize on emerging opportunities in the evolving landscape.