Wall Street sentiment flashes euphoria as crypto stalls

US shares are flashy signs of euphoria, unlike a Gedempte Cryptomarkt, while traders try to be divine instructions about what the next is.

The Global Equity Risk-Love indicator of the Bank of America, which offers a measure of investor sentiment, suggests that investment positioning, volatility and technical resources on the stock market will become dangerous bullish.

“The global risky indicator of Bofa jumped to 1.4, highest in 13 months,” wrote the Kobeissi letter in a tweet On Monday. “This metric has risen from panic levels to euphoria in just 4 months. Since 1987, sentiment has only been higher 7% of the time.”

Since April, both the US stock market and Crypto have experienced rapid growth, stimulated by Dovish Economic Data and ETF flows.

Two of the largest coins of Crypto by market capitalization have remained flat in the last seven days, clocking less than a percent for Bitcoin and a negative return of 0.4% for Ethereum, according to Coingecko data.

As an investor sentiment excess tips, a risk-off turn could cause a withdrawal into shares that would probably spill in digital assets, so that the recent slide of Bitcoin is deepened.

The question is whether optimism has really reached that point.

The bank recognized in her Augustus That the recent increase in the S&P 500 Index and Meme shares “has been sufficient to lift some eyebrows.”

Nevertheless, it clarified that despite this “decoupling between investors enthusiasm and Fundamentals, it is not a risk we are concerned about for the time being.”

Individual investors take a cautious attitude, according to a recent sentiment questionnaire of the American Association of Individual Investors.

The study showed that only 15.5% of respondents remained Bullish, indicating that “euphoria” is missing from traders in the retail and short -term.

Cryptos Anxiety and greed index Also shows a similar look, with “fear” the dominant story.

The Crypto market prospects will remain skewed for Bears in the short term due to the seasonal of September, which has yielded an average return of 3.34% in the last 12 years, Decrypt earlier reported.

The banengies of 5 September can enable investors to position themselves for the decision of the rate reduction of September 17, but for now traders are taking a defensive attitude.