What does the crypto Fear and Greed Index measure?
It is a 0-100 score that compresses several signals — Bitcoin dominance, volatility, market momentum and volume, price trends and social media activity — into a single reading of crowd sentiment. 0 is extreme fear, 100 is extreme greed.
How often does the Fear and Greed Index update?
Once per day. Alternative.me publishes a new reading roughly every morning UTC, so it does not move intraday the way price does. Treat it as a slow filter on the mood of the market rather than a live signal.
Is a high Fear and Greed reading a sell signal?
No. High readings mean optimism is widespread, which historically shows up near euphoric tops, but they say nothing about when a correction arrives. Low readings have the mirror problem: they cluster near bottoms but can stay low for months.
Is a low Fear and Greed reading a buy signal?
Not on its own. Extreme fear marks where the market has been washed out, but it does not say when selling stops. Pair it with price structure, volume and your own risk rules before acting.
Does CoinRung compute the index itself?
No. CoinRung displays the published value from Alternative.me. This page explains how the index is built so you know what sits behind the number, but nothing is recomputed locally.
How is the index different from a volatility gauge?
Volatility measures how much price is moving. The Fear and Greed Index mixes that with positioning, dominance and attention, so it can be low during a quiet market and high during a loud one. It is a mood gauge, not a risk gauge.
How should the index be combined with the other sentiment indicators?
Look for agreement. Extreme fear on the Fear and Greed Index while funding is negative and the long/short ratio is heavily short tells a consistent story; the same reading with funding deeply positive is a contradiction worth distrusting.
Does the index work for altcoins?
It is built around Bitcoin, so it reflects the mood of the largest market rather than of any specific altcoin. For altcoin rotation specifically, the Altcoin Season Index is the more direct gauge.