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Bitcoin and different cryptocurrencies available in the market are being abysmal worth motion these days. This comes although the Fear & Greed Index reveals that buyers are nonetheless very grasping relating to digital property. So why are costs nonetheless falling?

Investors Await CPI Data Release

The newest iteration of the United States Consumer Price Index (CPI) is scheduled to be launched later this week and crypto buyers appear to be ready for this earlier than taking any motion. The launch will occur on May 10, 2023, and can present if inflation within the nation elevated, decreased, or stayed the identical, which might have an incredible influence on monetary markets.

If inflation had been to return in increased, the Fed may retake a hawkish stance which might be brutal for threat property resembling Bitcoin. However, if inflation numbers had been to return in a lot decrease, then a dovish stance is predicted from the Fed, thus leaving a number of room for buyers to take extra dangers.

Lastly, if inflation had been to remain the identical, then it’s protected to imagine that there wouldn’t be a lot influence on the monetary market and the crypto market by extension. Although what it may do is maintain current market sentiment and if the bulls proceed to prevail, then momentum for an uptrend would possible construct in comparison with a downtrend.

Bitcoin Fear & Greed Index Remains Strong

The Bitcoin Fear & Greed Index nonetheless factors to the robust bullish sentiment amongst buyers available in the market because it continues to development in ‘greed.’ This reveals that crypto buyers are nonetheless wanting towards extra upside, however the drawdown available in the market depicts some degree of wariness regardless of this bullishness.

Interestingly, the market additionally completed final week robust round this degree, however at present’s rating of 60 on the index does level to a decline in greediness. Nevertheless, it stays at a fairly excessive degree in comparison with 2022’s figures.

Fear & Greed Index stays in greed | Source: alternative.me

A reversal in market development from right here may ship the Fear & Greed Index again within the course of ‘extreme greed’ as soon as extra. But whereas this degree of greed is welcome available in the market attributable to surging costs, it has been recognized to mark the highest of market rallies, leaving a bittersweet aftertaste within the mouths of buyers every time.

The worth of Bitcoin is at present buying and selling beneath $28,000 after crossing $31,000 final month. It is seeing 2.97% losses on the day by day chart which brings its market cap again all the way down to $541 billion.