Crypto Market Sentiment Shifts to Neutral Zone After 108-Day Streak

The Crypto Fear and Greed Index (CFGI) has reached a neutral level for the first time in 108 days, signaling a shift in market sentiment.

The CFGI measures market sentiment on a scale from 0 to 100, combining volatility, trading volumes, market momentum, and social signals. A value of 50 indicates a neutral level, where neither fear nor greed dominates the market.

This is a significant milestone for the market, as it marks an end to a period of negative sentiment that lasted over three months. During this time, prices fell, capital outflows from crypto funds increased, and risk appetite declined.

However, there is a worrying signal - a steady outflow of stablecoins from Binance since April 25, which could limit available buying power.

The market has clearly shifted from a phase of fear to a phase of cautious optimism. The question is whether this optimism will turn into real demand or fade away as it did in January.