- Fear & Greed Index spikes 25 points in 24 hours, hits 72 (Greed)
- Bitcoin crosses $94K amid renewed institutional and retail demand
- Analysts warn of potential pullbacks as the market enters emotional territory
Bitcoin’s bullish momentum is back on the charts as the Crypto Fear & Greed Index surging to 72 (“Greed”) on April 23rd. This marks a sharp sentiment turnaround from neutral (47) just yesterday and deep fear (29) only a week ago.
The climb coincides with BTC pushing past $94,000, signaling rising confidence, yet sparking rally-versus-correction debates.
Fundamentals vs. Froth: Justifying the “Greed”?
The index, created by Alternative.me, measures market emotion by factoring in volatility, trading volume, social sentiment, dominance, and Google Trends. A score above 70 is considered “Greed,” signifying overbought conditions and potential for a near-term pullback.
However, bulls argue that strong fundamentals, such as healthy ETF inflows, declining exchange reserves, and macroeconomic headwinds like rising inflation, are fueling the optimism.
Related: Bitcoin Flexes its Muscle to Clear Key Resistance Zone, Eyes $100K as Momentum Builds
This restored risk appetite sharply contrasts with last month when BTC struggled near $65K-$70K. Analysts suggest the rally is partly driven by renewed institutional interest post-US tax season and Bitcoin solidifying its narrative as a hedge against fiscal instability.
ETF Inflows and Retail Interest Add Fuel
Supporting this bullish view, ETF inflows provide concrete data. Bitcoin spot ETFs recorded a high total net inflow of $936 million on April 22nd alone, marking three straight days of positive flows. Ethereum spot ETFs also saw a total net inflow of $38.74 million, with none of the nine ETFs registering net outflows.
Additionally, retail interest, monitored via Google Trends, is also ticking upward. This confluence of bullish triggers places the market in an emotionally charged state, one where greed often supersedes caution.
Related: Whale Activity Sparks Greed: XRP Hits 95, DOGE Follows at 93
As the sentiment gauge flirts with levels last seen during March highs, seasoned traders advise watching for corrections. Historically, extreme greed has preceded volatility spikes, an insight even the most euphoric bulls should keep in mind.
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