Understanding Market Sentiment
Sentiment analysis gauges market emotions — fear and greed cycles that create buying and selling opportunities.
What is Market Sentiment?
Market Sentiment measures the collective emotional state of crypto investors. It combines price momentum, social media activity, and market indicators to determine if the market is driven by fear (selling) or greed (buying).
Contrarian Approach
Warren Buffett's famous quote applies: 'Be fearful when others are greedy, and greedy when others are fearful.' Extreme fear often creates the best buying opportunities, while extreme greed often precedes corrections.
How We Use It
Sentiment is weighted at 8% in our Value Score. We use a combination of short-term price momentum as a proxy for broader market sentiment per coin.
Extreme Fear
Potential Buy Opportunity
Extreme Greed
Potential Sell Signal
Current Top 5 Coins by Sentiment
How our algorithm currently scores the leading crypto assets on the "Sentiment" component. Higher = stronger undervaluation signal on this single dimension.
Worked Example
Uniswap (UNI) leads with a Sentiment value of 85/100. On this single dimension, Uniswap currently shows a clear undervaluation signal. Click Uniswap above to see the full score breakdown across all 10 metrics.