Due to the volatile nature of cryptocurrency, investors' behavior can be easily influenced by emotions. When the market is rising, irrational investors tend to be greedy, driven by the fear ofDue to the volatile nature of cryptocurrency, investors' behavior can be easily influenced by emotions. When the market is rising, irrational investors tend to be greedy, driven by the fear of
Learn/Cryptocurrency Knowledge/Basic Concepts/What Is the...reed Index?

What Is the Crypto Fear and Greed Index?

Jul 16, 2025MEXC
0m
ZKcandy
ZAY$0.0561-35.73%
Hyperliquid
HYPE$83.32+3.34%
Tron
TRX$0.3388+1.40%


Due to the volatile nature of cryptocurrency, investors' behavior can be easily influenced by emotions. When the market is rising, irrational investors tend to be greedy, driven by the fear of missing out on potential gains, which may lead them to buy cryptocurrency impulsively to chase the rising prices, due to FOMO (Fear Of Missing Out). Conversely, when the market is falling, irrational investors experience fear, worrying that the decline will continue, which may lead them to sell impulsively to cut losses in a FUD (Fear, Uncertainty, and Doubt) driven manner. It is evident that market sentiment is an essential indicator for measuring the market, and rational investors can use the Crypto Fear and Greed Index to assess the current market trend or market sentiment.

1.What Is the Crypto Fear and Greed Index?


The Crypto Fear and Greed Index is a market analysis tool used to measure sentiment in the cryptocurrency market. It generates a single numerical value based on aggregated analysis of various data from multiple sources. The numerical value ranges from 0 to 100, where 0 indicates extreme fear, and 100 indicates extreme greed. Within this 0-100 range, the index is further divided into four levels: 0-24 indicates extreme fear, 25-49 indicates fear, 50-74 indicates greed, and 75-100 indicates extreme greed.

Image source: CoinMarketCap

The emergence of this index aims to assist investors in making investment decisions and adjusting their emotions. When the market experiences extreme fear, it often signifies a decrease in market demand or a significant sell-off, which might present an ideal buying opportunity. On the other hand, when the market is characterized by extreme greed, it often indicates an overbought market, which might present the best opportunity to sell.

2.How To Calculate the Crypto Fear and Greed Index?


The Crypto Fear and Greed Index is derived from the weighted average of the following six data points:


Crypto Fear and Greed Index = Volatility Index * 25% + Market Trading Volume Index * 25% + Social Media Index * 15% + Market Survey Index * 15% + Dominance Index * 10% + Google Trends Index * 10%

2.1 Volatility (25%):


Volatility is derived from the average cryptocurrency prices over a 30-day and 90-day period. Generally, an increase in volatility indicates a rise in fear within the cryptocurrency market.

2.2 Market Trading Volume (25%):


Market trading volume is also measured using the average values over a 30-day and 90-day period to gauge the market's momentum. An increase in this value represents an increase in market buying power.

2.3 Social Media (15%):


This data refers to the number of posts mentioning Bitcoin or other cryptocurrencies on platforms such as Twitter. A higher social media index indicates an increase in investor engagement in the market.

2.4 Market Survey (15%):


A weekly poll will be conducted on voting platforms to gather the participants' opinions on cryptocurrencies. Market surveys can indirectly reflect participants' market sentiment.

2.5 Dominance (10%):


Dominance refers to Bitcoin's market capitalization as a percentage of the total cryptocurrency market.

2.6 Google Trends (10%):


Google Trends shows the search volume related to Bitcoin. A higher search volume suggests a potentially more fervent market interest.

Market Opportunity
ZKcandy Logo
ZKcandy Price(ZAY)
$0.0565
$0.0565$0.0565
+85.24%
USD
ZKcandy (ZAY) Live Price Chart

Popular Articles

View More
MEXC On-Chain Daily Report: Bitcoin spot ETFs post their strongest weekly inflows since mid‑April

MEXC On-Chain Daily Report: Bitcoin spot ETFs post their strongest weekly inflows since mid‑April

Updated: August 10, 2026, 09:30 (UTC+8) | Author: MEXC Headlines Bitcoin ETFs record $853.54 million in weekly net inflows CLARITY Act’s probability of passing this year falls to 21% BIP-110 formally

HIP-4 Explained: Why Hyperliquid’s Outcome Markets Could Reshape Prediction Trading

HIP-4 Explained: Why Hyperliquid’s Outcome Markets Could Reshape Prediction Trading

HIP-4 is one of Hyperliquid’s most important upgrades because it pushes the exchange beyond spot and perpetual futures into outcome-based trading. At a simple level, HIP-4 allows traders to buy and

USWR Coin: Legit Water Asset or Hype? What Traders Should Know Before Buying

USWR Coin: Legit Water Asset or Hype? What Traders Should Know Before Buying

USWR, also known as United States Water Reserve, sounds like a serious real-world asset token at first glance. The name suggests water reserves, national infrastructure, scarcity, and maybe even

Advanced U.S. Stock Trading Guide: 8 Powerful Skills for Smarter Market Decisions.

Advanced U.S. Stock Trading Guide: 8 Powerful Skills for Smarter Market Decisions.

Advanced U.S. Stock Trading Guide: 8 Core Skills for Smarter Market Decisions Most beginner stock trading guides stop at the mechanics: what a stock is, how to place an order, when the U.S. market

Hot Crypto Updates

View More
Could Hyperliquid Legally Launch in the U.S.? Trump and the CFTC Put HYPE in Focus

Could Hyperliquid Legally Launch in the U.S.? Trump and the CFTC Put HYPE in Focus

Overview During a high-profile White House meeting convening technology and digital asset leaders, decentralized derivatives powerhouse Hyperliquid emerged as a central focus of regulatory strategy.

Is Altcoin Season Back? XRP, HYPE, ZEC and LINK Surge More Than 30%

Is Altcoin Season Back? XRP, HYPE, ZEC and LINK Surge More Than 30%

Overview Following Bitcoin entering a consolidation phase near record highs, liquidity across the digital asset ecosystem is undergoing a pronounced structural rotation. Quantitative market tracking

Is Altcoin Season Back? ETH, SOL, XRP and HYPE Rally as Bitcoin Nears $70,000

Is Altcoin Season Back? ETH, SOL, XRP and HYPE Rally as Bitcoin Nears $70,000

Overview As benchmark digital asset Bitcoin (BTC) challenges the psychological 70,000 dollar threshold, the underlying price structure across the cryptocurrency market is undergoing a decisive shift.

Hyperion DeFi Posts $31 Million Profit in Q2: Is a “Strategy of Hyperliquid” Model Taking Shape?

Hyperion DeFi Posts $31 Million Profit in Q2: Is a “Strategy of Hyperliquid” Model Taking Shape?

Hyperion DeFi, a Nasdaq-listed company trading under the ticker HYPD and focused on building a HYPE treasury, has just reported its strongest quarter since shifting its focus toward the Hyperliquid

Trending News

View More
Sui Stablecoin Transfers Top $65B: What Comes Next?

Sui Stablecoin Transfers Top $65B: What Comes Next?

Sui’s stablecoin market is producing an unusual combination of numbers. Stablecoin supply on the network stands at roughly $478 million, yet zero-fee transfers have already exceeded $65 billion. The c

POSCO Trade Receivables Go Onchain: Why It Matters

POSCO Trade Receivables Go Onchain: Why It Matters

One of the most practical real-world asset use cases is moving beyond proof-of-concept. POSCO International America has worked with trade-finance platform Olea and digital asset infrastructure provide

BTR Price Surge Explodes 300%: What Drove It?

BTR Price Surge Explodes 300%: What Drove It?

The BTR price surge has pushed Bitlayer into the center of crypto trading activity after the token gained more than 300% over a 24-hour window on MEXC. According to platform data, BTR also ranked seco

RLUSD Market Cap Tops $2B: How Did Ripple Get Here?

RLUSD Market Cap Tops $2B: How Did Ripple Get Here?

The RLUSD market cap has surpassed $2 billion, marking another major milestone for Ripple’s dollar-backed stablecoin less than two years after its December 2024 launch. The growth is notable because R

Related Articles

View More
Crypto Fear and Greed Index Drops to Extreme Fear, What It Means and How Investors Should Respond

Crypto Fear and Greed Index Drops to Extreme Fear, What It Means and How Investors Should Respond

As of May 28, 2026, the crypto fear and greed index has dropped sharply to 22 — placing the market deep inside Extreme Fear territory once again.Social media is flooded with panic alerts, and traders

What is Stablecoin?

What is Stablecoin?

A stablecoin is a stable cryptocurrency backed by fiat currency, cryptocurrencies, or other assets like gold. Its purpose is to anchor the value to fiat currencies such as the US dollar or Euro. It co

What is ERC-20?

What is ERC-20?

After years of development, Ethereum (ETH) has formed a complete ecosystem that allows developers to innovate and create complex DAPP (Decentralized Application) applications based on Ethereum. ERC-20

What is Blockchain?

What is Blockchain?

Blockchain is not only confusing to newcomers in the cryptocurrency world, but many seasoned traders in the cryptocurrency community may also find it challenging to fully understand. However, after re

Sign Up on MEXC
Sign Up & Receive Up to 10,000 USDT Bonus
Is Your Stablecoin Truly Safe?
Is Your Stablecoin Truly Safe?Is Your Stablecoin Truly Safe?
Know the risks of USDT, USDC, OpenUSD & USD1