Bitcoin Sentiment Shifts to Greed Amid Uptick in Market and ETF Inflows

Key Bitcoin sentiment indicators have quickly flipped into “greed” territory as the crypto market experiences a sharp uptick and increasing Bitcoin ETF inflows. The sudden bullish reversal has seen Bitcoin sentiment move from “extreme fear” to “greed” and “FOMO” in just a matter of days, with Bitcoin gaining over 12% in the last week. Santiment, a crypto analytics platform, has advised caution amid the market’s newfound optimism, warning investors to be careful when the crowd becomes overly bullish without many signs of fear.

During the three-day period from July 13 to July 16, the Bitcoin sentiment tracker Crypto Fear & Greed Index swung from “extreme fear” to “greed” as the crypto market rallied, with Bitcoin currently priced at $64,508. Bitcoin ETFs have also shown strength, with eleven spot Bitcoin funds recording net inflows of $300.9 million on July 15. BlackRock and Ark 21 Shares were the leading funds, each securing $117.2 million in inflows on the day.

Following a dip to $53,500 on July 5, amidst German government-related BTC sales and concerns over Mt. Gox creditors, Bitcoin has rebounded, crossing the $62,000 mark. Analysts suggest that an improving macro-environment signals that the worst may be over for Bitcoin. The market is also looking favorably at the possibility of a crypto-friendly election outcome should Donald Trump and JD Vance win in November.