Investor sentiment in the virtual asset market is heating up rapidly on the 20th. As major virtual assets rebound, led by Bitcoin, the indicator reflecting market sentiment is also rising within the 'Greed' zone.

Fear and Greed Index at 74... Enters 'Greed' Zone

According to CoinMarketCap (CMC), the CMC Fear and Greed Index recorded 74 as of the 19th, entering the 'Greed' zone. In tandem with the overall price rise in the market, investor sentiment has shifted toward risk appetite.

The market size has also grown again. According to CoinMarketCap data, the total virtual asset market capitalization climbed to around $2.78 trillion. Both Bitcoin and altcoins are rising together, showing a broad market rebound not limited to specific virtual assets.

Bitcoin Breaks Above $81,000... Buying Spreads to Altcoins

Bitcoin's movement is one of the key drivers lifting market sentiment. CoinMarketCap reported that on the 19th, Bitcoin showed strength by surpassing the $81,000 level. The upward trend has also spread to altcoins, with buying expanding into some altcoins.

Bitcoin ETF Sees Two Consecutive Days of Net Inflows

Institutional fund flows are also noteworthy. According to Farside Investors, U.S. spot Bitcoin ETFs saw net inflows of about $324.6 million on the 18th. Notably, around $310.7 million flowed into Fidelity's 'FBTC,' and about $9.7 million into Bitwise's 'BITB.' The previous day, the 17th, total net inflows amounted to about $159.5 million, marking two consecutive days of net inflows.

Index Exceeds 70, But It Is Too Early to Determine Direction

However, with the Fear and Greed Index exceeding 70, it is difficult to determine the market's direction based on the bullish mood alone. The index quantifies investor sentiment by aggregating market price momentum, volatility, the derivatives market, market composition, and proprietary data; a higher value indicates stronger greed sentiment.

Accordingly, key points to watch in the market on the 20th will be whether Bitcoin can hold onto its recent gains and whether buying spreads further into altcoins. It is also necessary to monitor whether trading volume and ETF fund inflows continue while the Fear and Greed Index remains at a high level.

Based on the current trend alone, investor sentiment in the virtual asset market has clearly tilted toward greed rather than fear. However, a rise in the sentiment indicator may signal not only strong buying sentiment but also entry into a period of potentially heightened short-term volatility, so changes in the indicator warrant continued attention.

[The virtual asset market is highly volatile, and future prices cannot be predicted based solely on sentiment indicators and ETF fund flows. This article is not a recommendation to invest in any specific virtual asset, and the final judgment and responsibility for investments rest with the investor. AI assisted in part in the writing of this article.]