Fear & Greed Index Climbs to 70 as Altcoin Rotation Nears

The crypto market is entering a more bullish phase as sentiment pushes into “Greed” territory.

CoinMarketCap’s Fear & Greed Index rose to 70/100—up from 67 yesterday and 37 just 30 days ago—highlighting renewed investor confidence following key regulatory developments, reduced derivatives pressure, and signs of deeper institutional adoption.

Regulatory clarity fuels stablecoin optimism

The GENIUS Act, signed by President Trump on July 18, continues to drive enthusiasm across the digital asset space. The legislation requires 1:1 backing for stablecoins, laying the groundwork for a compliant, U.S.-regulated framework. Analysts and influencers like @stabbleorg have pointed to growing institutional appetite, as traditional players may soon view stablecoins as yield-generating, dollar-linked safe havens.

Social sentiment around “stablecoins” is spiking, with over 746,000 impressions and a sentiment score of 6.75/10. Bank of America estimates the sector could unlock $1.4 trillion in institutional capital by 2030.

Derivatives market cools, lowering risk

In the past 24 hours, total crypto open interest dropped 20.5% to $641.65 billion, easing systemic leverage. Биткойн liquidations fell 54% to $50.97 million, and funding rates remain positive at 0.0104%, up 589% month-over-month. This reset reduces the risk of cascading liquidations and provides a more stable base for further upside.

READ MORE:

U.S. Dollar Comes Onchain as GENIUS Act Ushers in Digital Era

What it means for investors

Greed at 70 suggests risk-on behavior, though not at euphoric extremes. While RSI-14 at 78.83 signals possible near-term cooling, history shows that sustained greed often precedes capital rotation into altcoins. With regulatory tailwinds and leverage reduced, the setup favors continued strength—especially if institutional tokenization efforts (like Goldman Sachs and BNY Mellon’s) expand further.

Kosta Gushterov

Kosta has been working in the crypto industry for over 4 years. He strives to present different perspectives on a given topic and enjoys the sector for its transparency and dynamism. In his work, he focuses on balanced coverage of events and developments in the crypto space, providing information to his readers from a neutral perspective.