The Fear and Greed index is at 65%

We don't have to go far back into time to a period when the fear and greed index almost reached 90%. After that, it was around 80% for a long time, but now it has declined to 65%. What does that mean? The greed in people might not be as strong anymore, and people are suddenly feeling more fear and the need for taking profits.

During extreme greed, people are just crazy about buying and they believe everything will moon at all times. In this period, they don't take profit, they just invest and buy and buy. That is why it is extreme greed, and people easily forget to use common sense. As a result, we often see big dumps as the professional traders, those who know how to keep their feelings at a distance when it comes to trading, take profit and prices will often be extremely volatile.

With the fear and greed index now at 65%, I would say that the market is ready for some uptrends again, but it also means that people are careful with their money and they are skeptical as well when it comes to the future.

Which direction will we go?