Fear & Greed index: The Fear & Greed index ranges from 0 to 100, where 0-24 indicates extreme fear, 25-49 fear, 50-74 greed, and 75-100 extreme greed. A score of 78 reflects a significantly greedy investor sentiment.
Factors influencing the index: This index compiles data from six factors: volatility, market momentum, social media, surveys, Bitcoin dominance, and Google search trends. Each factor contributes to assessing market sentiment.
Impact of greed sentiment: Extreme greed sentiment can lead to increased investment activity and short-term optimism. However, there are risks of market overheating which may cause investors to make unwise decisions.