What is the crypto fear & greed index?

The Crypto Fear & Greed Index runs from 0 to 100. A lower score means there is more fear in the market, while a higher one indicates that greed is starting to run rampant. Extreme Fear is defined as a score between 0 and 24, but this is downgraded to Fear between 25 and 49. As you'd expect, 50 is roughly neutral.

What is Warren Buffett's crypto fear & greed strategy?

Warren Buffett advocates the reverse strategy. The Crypto Fear & Greed Index runs from 0 to 100. A lower score means there is more fear in the market, while a higher one indicates that greed is starting to run rampant. Extreme Fear is defined as a score between 0 and 24, but this is downgraded to Fear between 25 and 49.

What is the fear of cryptocurrencies?

Volatility: The higher the volatility, the higher is the fear. Extreme fluctuations in the prices of cryptocurrencies depicts an anxious market and low appetite for investors. The index measures the volatility and then compares it to the average of the last one month or 90 days.

Why is it important to avoid overreactions in the crypto market?

This can also further help potential crypto investors and enthusiasts to avoid an overreaction, which could otherwise lead to panic-selling or may create a blood-bath kind of situation in an already crippled crypto market.