Hey guys,
By recent Fear&Greed Index bitcoin is in extreme greed area, usually it's a sign of decline in price or even crash. I've been observing this index for quite some time and find it pretty accurate, of course it doesn't give you the exact day or time but it indicates the sentiment on the market. Do you ever use this index in your trading analysis?
By extension, what you're implying is that Bitcoin market is in the overbought region now, right? Well, I used to believe that there was something like oversold and overbought areas when I started out trading a few years ago. That was in the past as experience has taught me there isn't anything like that. There can be corrections in the market from time to time, and this is fueled by fear of investors to want to take profit and reenter later. It's an experienced way of trading. There is no index that is accurate. I don't follow any because they're mostly lagging indicators.