<\/p>\n
After 18 days at the bottom of a widely used crypto market sentiment index, the market appears to be showing early signs of improving sentiment.<\/p>\n
The Crypto Fear & Greed Index<\/a>, which measures overall crypto market sentiment, posted a \u201cFear\u201d score of 28 on Saturday, the first time since Nov. 10 that it hasn\u2019t posted an \u201cExtreme Fear\u201d score.\u00a0<\/p>\n The prolonged stretch near the index\u2019s most bearish level for the majority of November, historically Bitcoin\u2019s (BTC<\/a>) best-performing month on average, did not go unnoticed by the broader crypto community.<\/p>\n On Nov. 15, crypto analyst Matthew Hyland pointed<\/a> out that the index was at the \u201cmost extreme fear level\u201d of the entire cycle. \u201cA path like this for BTC Dominance would now be max pain,\u201d Hyland said at the time. Just days later, on Nov. 23, crypto analyst Crypto Seth said<\/a>, \u201cExtreme Fear is an understatement.\u201d\u00a0<\/p>\n However, crypto trader Nicola Duke said<\/a> that every time extreme fear has been on the index, it has marked a \u201clocal bottom\u201d for Bitcoin.<\/p>\n Other indicators have since suggested that sentiment may be recovering. Crypto sentiment platform Santiment said<\/a> on Wednesday that Bitcoin was showing \u201cgenerally bullish sentiment\u201d after Bitcoin climbed back to nearly $92,000, citing its social media bullish-to-bearish sentiment indicator.<\/p>\n Santiment said that market discussions surrounding Bitcoin on social media have focused on price volatility, and institutional activity, including ETFs and treasury purchases.<\/p>\n Related: <\/strong><\/em>BTC price pauses at $92K: Can Bitcoin avoid another crash?<\/strong><\/em><\/a><\/p>\n However, crypto market participants still appear to be hesitant and in risk-off mode, according to CoinMarketCap\u2019s Altcoin Season Index<\/a>, which currently sits firmly in \u201cBitcoin Season\u201d with a score of 22 out of 100 \u2014 a metric that oscillates between Altcoin and Bitcoin season readings.<\/p>\n On Friday, Bitwise Europe’s head of research, Andr\u00e9 Dragosch, said Bitcoin\u2019s price<\/a> has been misaligned due to a misreading of the broader macroeconomic outlook, particularly growing expectations of an upcoming recession.<\/p>\n \u201cThe last time I saw such an asymmetric risk-reward was during COVID,\u201d Dragosch said.<\/p>\n\u201cExtreme Fear\u201d readings have typically marked bottoms, says trader<\/h2>\n
Crypto market still appears to be in risk-off mode<\/h2>\n