Xinhuo Research Institute: Fear and Greed Index Returns to 40, Indicating Possible Completion of a Staged Bottom Formation

Foresight News reports that Xinhuo Research Institute released its latest analysis today, stating that the crypto market is demonstrating strong independent recovery resilience. During the trading week from March 11 to 18, while the Nasdaq Index fell by 1.26% in a single week, bitcoin (BTC) defied the trend and rose, with a 7-day overall increase of 5.66%. Ethereum (ETH) performed even more strongly, with a weekly gain of 13%. Currently, the CoinMarketCap Fear and Greed Index has returned above 40, and CoinGlass data shows a value of 27, both moving out of the extreme fear zone seen since last November. Xinhuo Research Institute believes this marks a rapid recovery of market confidence from its lowest point, with the phase of chip exchange and bottom building basically completed.

Since February this year, Xinhuo Research Institute has repeatedly predicted that the market has entered a "high cost-performance zone," and the current trend further confirms that crypto assets are about to usher in a comprehensive recovery. Xinhuo Research Institute is optimistic that crypto assets will soon experience a full-scale revival, with bitcoin and ethereum leading major asset classes, and ethereum is more likely to become the best-performing asset in 2026. Regarding future market views, the crypto market is currently in a dual recovery period of liquidity and market sentiment for the first time since last November. For medium- and long-term investors, the current environment still offers extremely high cost-effectiveness for building positions. However, considering the external macro environment remains unstable, it is not recommended to adopt overly aggressive strategies. The focus should be on the latest statement from the Federal Reserve regarding the pace of future interest rate cuts, which will be released early tomorrow morning.