BTC - Contrarian Indicator says now's the time to back up the truck!
One indicator may be flashing a buy signal for bitcoin.
It has long been said that the best way to make money in financial markets is to be fearful when others are greedy and to be greedy when others are fearful.
Another popular one is that you should be buying when there is blood in the streets.
Both of those may be especially true as they relate to cryptocurrency at the moment.
The blood in the streets one is much more accurate of the altcoin market than it is of bitcoin though.
However, that first one, "being greedy when others are fearful", may apply to all of crypto.
A while back Fundstrat came up the the Misery Index as it relates to bitcoin.
This index is very similar to a Fear and Greed index.
I am not sure all the inputs that go into it, but it tends to read the sentiment around bitcoin and when that sentiment is very poor it tends to show a "fear" reading.
When things are going very well , it tends to show a "greed" reading.
What do you think it is showing right now?
Take a look...
That's right, as of right now bitcoin is showing extreme fear on the index.
This is a level that hasn't been seen since December of last year.
At a time when bitcoin was hovering around $3k and shortly after ended up going on a run that took prices up over 4x.
A similar move right now would take prices to roughly $40k.
Will history repeat?
We shall see...
Stay informed my friends.