{"id":420201,"date":"2020-04-07T20:00:30","date_gmt":"2020-04-07T20:00:30","guid":{"rendered":"https:\/\/uniquehot.com\/?p=420201"},"modified":"2020-04-07T18:14:25","modified_gmt":"2020-04-07T18:14:25","slug":"crypto-sentiment-in-fear-while-price-rallies-is-classic-disbelief","status":"publish","type":"post","link":"https:\/\/uniquehot.com\/news\/crypto-sentiment-in-fear-while-price-rallies-is-classic-disbelief\/","title":{"rendered":"Peak “Fear” Crypto Market Shows Big Bitcoin Recovery is Imminent: Analyst"},"content":{"rendered":"

The crypto market is on fire this week, with Bitcoin<\/a> price exploding well above $7,000 and the rest of the market outperforming the leading crypto by market cap.<\/p>\n

However, even though prices are taking off across the market, according to the Fear and Greed Index, the market is still in extreme fear. One crypto analyst says that prices rallying while investors are fearful is suggests the market is in a classic disbelief phase and following should be the first signs of hope of a sustainable long-term recovery in the digital asset class.<\/p>\n

What Phase Is the Crypto Market Cycle In?<\/h2>\n

Crypto<\/a> analysts have long argued over what stage of a classic market cycle the market is in. All markets are cyclical in nature, and the crypto market is no different.<\/p>\n

Financial markets and even crypto assets go through regular, alternating periods of uptrend and growth, followed by downtrend and decline.<\/p>\n

Related Reading | Despite Cryptocurrency Market Recovery, Sentiment Is Still Extremely Fearful\u00a0<\/a><\/strong><\/em><\/p>\n

During these cycles, investors experience specific sets of emotions depending on where they are in each cycle. For example, when a top is near, and a cycle is about to peak, investors tend to be irrationally exuberant in their expectations for continued growth.<\/p>\n

At that stage, investors often think they’re somehow a genius, and are about to strike it rich. They are blinded by their portfolio numbers increasing by the day and don’t see the collapse coming right in front of them.<\/p>\n

The inverse is true at the bottom.<\/p>\n

Classic Disbelief Phase Could Leave Investors Behind When Bitcoin Takes Off<\/h2>\n

Crypto<\/a> investors have been mentally conditioned to expect more downside, have become fed up with the asset, and have lost hope for a recovery. This is called the disbelief stage and sneaks up on unsuspecting investors who have often have just been shaken out during a downtrend.<\/p>\n

\"crypto\"
Crypto sentiment at peak fear<\/figcaption><\/figure>\n

As the asset begins to pick up positive momentum once again, investors ignore the signals that an uptrend is starting.<\/p>\n

They simply don’t believe the recovery is real or will have legs, and don’t take a position. Sooner than later, the asset has taken off on a powerful rally, and investors must FOMO-buy back into the asset at a higher price than they would have liked to, because they ignored the early signs that a recovery was taking place.<\/p>\n

Related Reading | Is the Coronavirus The Black Swan Event That Crushes Cryptocurrency?<\/a><\/strong><\/em><\/p>\n

Bitcoin and the rest of the crypto market has nearly doubled since the extreme low set back in mid-March, meanwhile, the crypto market Fear and Greed Index<\/a> remains in a state of extreme fear, showing that this very well could be the disbelief rally that leaves burned and beaten investors in its dust, as the asset class takes off to new highs.<\/p>\n

Featured image from Shutterstock<\/pre>\n","protected":false},"excerpt":{"rendered":"

The crypto market is on fire this week, with Bitcoin price exploding well above $7,000 and the rest of the market outperforming the leading crypto by market cap. However, even though prices are taking off across the market, according to the Fear and Greed Index, the market is still in extreme fear. One crypto analyst says that prices rallying while investors are fearful is suggests the market is in a classic disbelief phase and following should be the first signs of hope of a sustainable long-term recovery in the digital asset class. What Phase Is the Crypto Market Cycle In? Crypto analysts have long argued over what stage of a classic market cycle the market is in. All markets are cyclical in nature, and the crypto market is no different. Financial markets and even crypto assets go through regular, alternating periods of uptrend and growth, followed by downtrend and decline. Related Reading | Despite Cryptocurrency Market Recovery, Sentiment Is Still Extremely Fearful\u00a0 During these cycles, investors experience specific sets of emotions depending on where they are in each cycle. For example, when a top is near, and a cycle is about to peak, investors tend to be irrationally exuberant in their expectations for continued growth. At that stage, investors often think they’re somehow a genius, and are about to strike it rich. They are blinded by their portfolio numbers increasing by the day and don’t see the collapse coming right in front of them. The inverse is true at the bottom. Classic Disbelief Phase Could Leave Investors Behind When Bitcoin Takes Off Crypto investors have been mentally conditioned to expect more downside, have become fed up with the asset, and have lost hope for a recovery. This is called the disbelief stage and sneaks up on unsuspecting investors who have often have just been shaken out during a downtrend. As the asset begins to pick up positive momentum once again, investors ignore the signals that an uptrend is starting. They simply don’t believe the recovery is real or will have legs, and don’t take a position. Sooner than later, the asset has taken off on a powerful rally, and investors must FOMO-buy back into the asset at a higher price than they would have liked to, because they ignored the early signs that a recovery was taking place. Related Reading | Is the Coronavirus The Black Swan Event That Crushes Cryptocurrency? Bitcoin and the rest of the crypto market has nearly doubled since the extreme low set back in mid-March, meanwhile, the crypto market Fear and Greed Index remains in a state of extreme fear, showing that this very well could be the disbelief rally that leaves burned and beaten investors in its dust, as the asset class takes off to new highs. Featured image from Shutterstock<\/p>\n","protected":false},"author":517,"featured_media":420208,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[5651,3],"tags":[428,1144,6664,75675,1558,61534,54405],"class_list":["post-420201","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-bitcoin","category-news","tag-bitcoin","tag-btcusd","tag-crypto","tag-crypto-market-fear-and-greed-index","tag-cryptocurrency","tag-fear-and-greed-index","tag-market-cycle"],"acf":[],"yoast_head":"\nPeak "Fear" Crypto Market Shows Big Bitcoin Recovery is Imminent: Analyst<\/title>\n<meta name=\"description\" content=\"Crypto market is on fire this week, with Bitcoin exploding well above $7,000 and the rest of the market outperforming the leading crypto by market cap.\" \/>\n<meta name=\"robots\" content=\"index, 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As the Head of Research at NewsBTC, Tony leads a team dedicated to providing cutting-edge insights and forecasts, helping both novice and experienced traders navigate the complexities of the crypto market. A seasoned Chartered Market Technician, Tony's prowess in identifying and capitalizing on market patterns is unmatched. His academic and professional journey in market analysis has firmly established him as a leading authority in technical trading strategies. Tony\u2019s approach is heavily influenced by the principles of Elliott Wave Theory, a method known for its rigorous assessment of investor psychology and price movements. Beyond his role at NewsBTC, Tony is the visionary founder of CoinChartist.io, an educational platform aimed at demystifying the nuances of cryptocurrency trading. CoinChartist.io serves as a valuable resource for traders seeking to enhance their technical analysis skills. The platform offers a range of learning tools and resources designed to empower traders with the knowledge to make informed trading decisions. In addition to his educational initiatives, Tony is a prolific author and a dominant voice in the crypto community. He writes the CoinChartist VIP newsletter, a weekly dispatch that has become a staple among crypto enthusiasts, revered for its insightful analysis and actionable trading advice. This newsletter has consistently ranked as a best-seller on SubStack, boasting thousands of subscribers who rely on Tony\u2019s expertise to guide their trading strategies. Tony is also celebrated for his literary contributions to the field. He is the author of the highest-rated Crypto Trading Journal on Amazon.com, a testament to his ability to communicate complex trading concepts in an accessible manner. This journal is widely regarded as an essential tool for traders aiming to track their progress and refine their strategies. Before his ascent in the financial analysis world, Tony honed his skills in journalism. His background in this field has endowed him with a unique ability to present intricate market dynamics in a clear and compelling manner, making his insights highly sought after by a broad audience that ranges from casual readers to professional traders. His professional affiliations underscore his commitment to excellence and continuous learning. As a partner of Elliott Wave International and TradingView, Tony collaborates with other leading experts to enhance his knowledge and skills. His active membership in the CMT Association further aligns him with the highest standards of industry practices and ethics. Tony\u2019s nickname, \"The Bull,\" aptly reflects his aggressive and optimistic outlook on the cryptocurrency markets. His forecasts often anticipate significant upturns, earning him a reputation for bullish predictions that have frequently led to lucrative outcomes for those who follow his advice. In summary, Tony \"The Bull\" Severino, CMT, is more than just a technical analyst; he is a mentor, educator, and innovator whose influence in the cryptocurrency space continues to grow. His dedication to advancing the understanding of market forces and his commitment to providing high-quality, reliable analysis make him a pivotal figure in the world of cryptocurrency trading.","sameAs":["https:\/\/coinchartist.io\/","https:\/\/www.instagram.com\/coinchartist_io\/","https:\/\/x.com\/https:\/\/twitter.com\/tonythebullBTC","https:\/\/www.youtube.com\/@coinchartist_io"],"url":"https:\/\/uniquehot.com\/author\/tonymspilotro\/"}]}},"parsely":{"version":"1.1.0","meta":{"@context":"https:\/\/schema.org","@type":"NewsArticle","headline":"Peak “Fear” Crypto Market Shows Big Bitcoin Recovery is Imminent: Analyst","url":"http:\/\/uniquehot.com\/news\/crypto-sentiment-in-fear-while-price-rallies-is-classic-disbelief\/","mainEntityOfPage":{"@type":"WebPage","@id":"http:\/\/uniquehot.com\/news\/crypto-sentiment-in-fear-while-price-rallies-is-classic-disbelief\/"},"thumbnailUrl":"https:\/\/uniquehot.com\/wp-content\/uploads\/2020\/04\/cryptocurrency-market-sentiment-cycle-disbelief-shutterstock_1125750473-scaled.jpg?resize=200%2C200","image":{"@type":"ImageObject","url":"https:\/\/uniquehot.com\/wp-content\/uploads\/2020\/04\/cryptocurrency-market-sentiment-cycle-disbelief-shutterstock_1125750473-scaled.jpg?fit=2560%2C1821"},"articleSection":"Bitcoin","author":[{"@type":"Person","name":"Tony \"El Toro\" Severino"}],"creator":["Tony \"El Toro\" Severino"],"publisher":{"@type":"Organization","name":"NewsBTC","logo":"https:\/\/uniquehot.com\/wp-content\/uploads\/2020\/06\/cropped-cropped-cropped-favicon.png?w=32"},"keywords":["bitcoin","btcusd","crypto","crypto market fear and greed index","cryptocurrency","fear and greed index","market cycle"],"dateCreated":"2020-04-07T20:00:30Z","datePublished":"2020-04-07T20:00:30Z","dateModified":"2020-04-07T20:00:30Z"},"rendered":"<script type=\"application\/ld+json\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@type\":\"NewsArticle\",\"headline\":\"Peak “Fear” Crypto Market Shows Big Bitcoin Recovery is Imminent: Analyst\",\"url\":\"http:\\\/\\\/uniquehot.com\\\/news\\\/crypto-sentiment-in-fear-while-price-rallies-is-classic-disbelief\\\/\",\"mainEntityOfPage\":{\"@type\":\"WebPage\",\"@id\":\"http:\\\/\\\/uniquehot.com\\\/news\\\/crypto-sentiment-in-fear-while-price-rallies-is-classic-disbelief\\\/\"},\"thumbnailUrl\":\"https:\\\/\\\/uniquehot.com\\\/wp-content\\\/uploads\\\/2020\\\/04\\\/cryptocurrency-market-sentiment-cycle-disbelief-shutterstock_1125750473-scaled.jpg?resize=200%2C200\",\"image\":{\"@type\":\"ImageObject\",\"url\":\"https:\\\/\\\/uniquehot.com\\\/wp-content\\\/uploads\\\/2020\\\/04\\\/cryptocurrency-market-sentiment-cycle-disbelief-shutterstock_1125750473-scaled.jpg?fit=2560%2C1821\"},\"articleSection\":\"Bitcoin\",\"author\":[{\"@type\":\"Person\",\"name\":\"Tony \\\"El Toro\\\" Severino\"}],\"creator\":[\"Tony \\\"El Toro\\\" Severino\"],\"publisher\":{\"@type\":\"Organization\",\"name\":\"NewsBTC\",\"logo\":\"https:\\\/\\\/uniquehot.com\\\/wp-content\\\/uploads\\\/2020\\\/06\\\/cropped-cropped-cropped-favicon.png?w=32\"},\"keywords\":[\"bitcoin\",\"btcusd\",\"crypto\",\"crypto market fear and greed index\",\"cryptocurrency\",\"fear and greed index\",\"market cycle\"],\"dateCreated\":\"2020-04-07T20:00:30Z\",\"datePublished\":\"2020-04-07T20:00:30Z\",\"dateModified\":\"2020-04-07T20:00:30Z\"}<\/script>","tracker_url":"https:\/\/cdn.parsely.com\/keys\/uniquehot.com\/p.js"},"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"https:\/\/uniquehot.com\/wp-content\/uploads\/2020\/04\/cryptocurrency-market-sentiment-cycle-disbelief-shutterstock_1125750473-scaled.jpg?fit=2560%2C1821","amp_enabled":true,"_links":{"self":[{"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/posts\/420201"}],"collection":[{"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/users\/517"}],"replies":[{"embeddable":true,"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/comments?post=420201"}],"version-history":[{"count":0,"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/posts\/420201\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/media\/420208"}],"wp:attachment":[{"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/media?parent=420201"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/categories?post=420201"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/uniquehot.com\/wp-json\/wp\/v2\/tags?post=420201"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}