Bitcoin hits new highs as Trump’s pro-crypto win sparks investor optimism, fueling extreme greed and bullish trends across the crypto market.
By Temitope Olatunji
Edited by Julia Sakovich
Updated
3 mins read
The crypto market can be emotional, often reacting based on market conditions. When prices rise, it’s common for users to become greedy, leading to FOMO (fear of missing out). However, when prices drop, crypto users frequently sell their digital assets out of fear. A key metric for tracking investor sentiment, the Crypto Fear and Greed Index, is currently showing “Extreme Greed.”
The latest reading at the time of writing places the index at 77, indicating heightened trading volume as investors accumulate more crypto with expectations of a market rise. The last time it reached a similar level was on October 31.
Bitcoin Fear and Greed Index is 77 — Extreme Greed
Current price: $75,247 pic.twitter.com/jUkPKypYg9— Bitcoin Fear and Greed Index (@BitcoinFear) November 7, 2024
It’s no surprise that this level of greed coincides with Bitcoin BTC $96 092 24h volatility: 0.5% Market cap: $1.90 T Vol. 24h: $90.78 B setting a new all-time high of $76,000 following Donald Trump’s election victory, which has bolstered optimism among crypto investors.
Typically, when the index metric is between 75 and 100, it reads that the investors are getting too greedy, and at this point, the market might be due for a correction. Various factors are considered before concluding, such as market volatility, momentum, social media, carrying out surveys on different platforms, and checking market dominance. With this index, investors can see if people in the market feel are positive or negative.
This week, Bitcoin has been on a positive trend, with the price reaching a new all-time high of $76,000 yesterday Although the price closed at 75,000, the trading volume remains high, showing investors are still actively trading the coin.
Other notable coins have also been bullish over the last 24 hours, with Ethereum ETH $3 625 24h volatility: 0.0% Market cap: $436.85 B Vol. 24h: $39.87 B , Solana ETH $3 625 24h volatility: 0.0% Market cap: $436.85 B Vol. 24h: $39.87 B , Binance Chain BNB $723.7 24h volatility: 12.6% Market cap: $105.35 B Vol. 24h: $3.88 B , XRP XRP $2.60 24h volatility: 5.3% Market cap: $148.40 B Vol. 24h: $46.61 B , and Cardano ADA $1.22 24h volatility: 2.7% Market cap: $43.82 B Vol. 24h: $4.27 B seeing gains of 7%, 2%, 2%, 3%, and 3%, respectively.
The bullish pattern in the market can be attributed to the emergence of Donald Trump as the new American President. He made several promises to the crypto industry and even vowed to make the country the crypto capital of the world, sparking wide support from the community.
His victory as the next US president and the winning of 250 pro-crypto congressional candidates indicate to investors that there might be less strict regulation regarding cryptocurrency and even more support for the industry. This belief could lead to more buying activity by the investors and possibly cause the prices of many coins to spike even more.
Sir Robert, a DeFi economist with more than 40,000 followers on X, mentioned that Trump’s victory as the 47th American president is a win for crypto and its industry.
With so much optimism and euphoria within the crypto community regarding the Trump presidency, we could see the market going more bullish in the coming days.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Temitope is a writer with more than four years of experience writing across various niches. He has a special interest in the fintech and blockchain spaces and enjoy writing articles in those areas. He holds bachelor's and master's degrees in linguistics. When not writing, he trades forex and plays video games.
