COINOTAG News reported on August 28 that Alternative Data’s Fear and Greed Index stands at 48, down from 51 the previous day, with a seven‑day average of 50. This reading places the broader crypto market squarely in neutral territory, reflecting neither pronounced risk aversion nor exuberance.
The index operates on a 0–100 scale and aggregates multiple inputs to form a composite sentiment gauge. Component weights include Volatility (25%), Market Trading Volume (25%), Social Media Hype (15%), Market Surveys (15%), Bitcoin’s Dominance (10%) and Google Trends Analysis (10%), providing a multi‑dimensional view of market dynamics.
From a market‑structure perspective, a neutral index suggests short‑term consolidation rather than directional conviction, with emphasis on monitoring trading volume and Bitcoin dominance for shifts in market breadth and risk‑adjusted positioning.
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Source: https://en.coinotag.com/breakingnews/bitcoin-fear-and-greed-index-drops-to-48-weekly-average-50-signals-neutral-crypto-market/