The crypto fear and greed index moved to the fear zone of 34 this week as Bitcoin and other cryptocurrencies plunged. Bitcoin moved below $26,000 as it experienced its worst week of the year. Other cryptocurrencies like Ethereum, Cardano, and Oasis Network also slipped, bringing the total market cap to $1.02 trillion.
Fear and greed index slipped
The fear and greed index is one of the most prominent sentiment gauges in the financial market. The initial index was created by CNN Money to provide sentiment in the stock and bond market. It looks at important gauges like the CBOE VIX index, put and call options, and stock price breadth among others.
The crypto fear and greed index, on the other hand, looks at several important measures in the industry. Some of the most important things it looks at are social media activity, volatility, momentum, and dominance.
In most periods, the crypto fear and greed index usually rises when Bitcoin and other cryptocurrencies are rising. It then retreats sharply when Bitcoin and Co are falling. For example, the index remained at the neutral level of 50 when BTC remained at the consolidation phase of $29,000.
Some analysts believe that cryptocurrencies will bounce back in the coming weeks. They cite the fact most big Bitcoin holders, popularly known as whales, have continued holding their positions and have not sold during the recent sell-off.
In a Twitter post, the head of Pantera Capital argued that Bitcoin has stayed in depressed levels for so long. He now expects that BTC will jump to $35,000 in the near term and then surge to $150k by the next halving event.
#Bitcoin recently experienced the longest period of negative year-over-year returns in its history, lasting 15 months.
The longest period prior was just under a year.
Our view is that we’ve seen enough – there’s just so long markets can be down.
— Dan Morehead (@dan_pantera) August 23, 2023
Chancer token sale gains steam
Another sign that there is interest in cryptocurrencies is the rising demand for token sales. Chancer, is a new company seeking to disrupt the fast-growing and highly popular industries. The company has raised over $1.65 million from investors in the past few weeks. You can buy the Chancer token here.
Chancer is aiming to become the biggest player in the sports betting and prediction industry. This is a large industry that was estimated worth over $91 billion in 2023. In a report, FMI estimated that the industry will have a compounded annual growth rate (CAGR) of 10% by 2030 to over $245 billion.
Today, the sports betting industry is dominated by highly centralized companies like FanDuel, DraftKings, BetMGM, and Caesars. Internationally, some of the best-known brands are companies like Bwin, Bet365, and William Hill among others.
While these companies work well, there is always room for disruption, especially using the blockchain technology. This is the gap that Chancer is aiming to fill using blockchain technology.
Instead of users being just customers, they will own the ecosystem since the network will use a decentralized autonomous organization (DAO) model. To achieve this, Chancer will be powered by the $CHANCER token. Holders will have important privileges like making decisions in the ecosystem.
Further, $CHANCER holders will have a chance to make money by creating markets and livestreaming them. Some analysts believe that the network could be a game changer if it works. You can read the Chancer white paper here.