- Bitcoin price remained above $20,000 on Monday.
- The fear and greed index points to more greed in the market.
- The VIX index has pulled back in the past few days.
The BTC price remained in a tight range as the fear and greed index moved to the greed zone of 60. Bitcoin was trading at $20,700, which was slightly below last week’s high of $21,300. This price is slightly above last month’s low of $18,116. The BTC/GBP price was trading at 18,000.
Fear and greed rises as VIX index pulls back
Investors are getting greedier recently. The fear and greed index tracked by CNN Money jumped to 60, which is significantly higher than last month’s low of 21. A higher number is usually a sign that investors are getting substantially greedy.
Meanwhile, the closely watched Bitcoin fear and greed index, has moved to the fear level of 33. This is also significantly higher than last month’s 24.
The VIX index, which is an important fear gaufe in the market, declined to $24, which was lower than last week’s high of $34.76. A falling VIX is usually a sign that market conditions are improving.
There have been no major catalyst for Bitcoin price recently. A key thing moving the crypto market is the financial situation in FTX and Alameda that we wrote about before. There are concerns about the fact that most of Alameda’s assets are in FTX’s token.
The BTC price has remained under pressure after last week’s interest rate decision by the Federal Reserve. In its statement, the Fed decided to hike interest rates by 0.75% for the fourth straight time. It also hinted that it will continue hiking interest rates in the coming months.
Learn more about how to buy Bitcoin.
Meanwhile, data published on Friday showed that the labor market continued doing well in October. The unemployment rate rose to 3.7% as the economy added more than 230k jobs. Focus now shifts to the upcoming American consumer inflation data scheduled for Thursday. The US dollar index (DXY) has dropped to $110 from last month’s high of $115.
BTC price prediction
The BTC/USD forecast has been in a tight range in the past few days. It remains at around $20,000, which is slightly above last month’s low of $18,000. The price is slightly above the 50-day moving average while the Relative Strength Index (RSI) has formed a bullish divergence pattern.
Therefore, Bitcoin will likely have a bullish breakout as investors get more greedy in the coming days. If this happens, the next key level to watch will be at $22,000.
