Extreme Greed Amidst a BTC Dominance PullbackOct 26, 2021
After rising for a month with ETF anticipation, we’ve seen a slight pullback as the broader crypto market rallied. ETHBTC has surged 12% this week alone, alongside notably strong performance from other L1s (SOL, AVAX, etc.).
A word of caution (especially when deploying leverage), the Crypto Fear and Greed Index is back to highs we haven’t seen since early March, officially marking “Extreme Greed” levels. However, this doesn’t mean a deep pullback is guaranteed, especially since momentum is a key input into the index’s calculation. The adage “the market can remain irrational longer than you (or bears) can remain solvent” is especially true in crypto.