- The crypto community took Changpeng “CZ” Zhao’s recent social media post as an indication that market FOMO is here.
- Others took it as an endorsement of the tokens linked to the former Binance CEO, namely BNB and ASTER.
Former Binance CEO Changpeng “CZ” Zhao’s recent post again sparked various speculations in the crypto community. It came right after Bitcoin (BTC) logged a new all-time high above $126K on Monday, followed by BNB achieving another historical peak of $1,259.84 this Tuesday.
Is FOMO Heating Up?
“Now, it’s ‘I wish I bought _____ early’ season,” said CZ’s short post on X that sent people buzzing.
Many took the statement as an indication of FOMO (Fear of Missing Out) taking over the market. According to medical experts, this condition is a feeling of anxiety and unease about how others might be having more rewarding experiences. In the context of investing, it’s the same thought that occurs when one feels getting left out by others who have invested in an asset earlier and are already reaping the rewards of their early entry.
Typically, FOMO happens when new or previously risk-averse investors rush into the market. Greed or hope that they can still squeeze profits from rising prices often clouds their judgment. The situation mostly leads to them making irrational investment decisions, causing them to buy at peak prices or invest more than they can afford to lose. In most cases, it leaves them vulnerable to sudden market corrections or even a full-blown crash, referred to as “capitulation,” from an overheated market where massive profit-taking looms.
The Crypto Fear & Greed Index on Alternative.me currently shows a greedy sentiment in the crypto market. The readings suggest a possible FOMO build-up with the dial pointing at a scale of 70 over 100. However, past data during the November and July peaks, with figures going beyond the present ones to “Extreme Greed” territory at 75 or higher, means the current market frenzy has yet to hit its peak—unless other variables would prematurely suppress the bullish momentum.
Is CZ Talking About Aster or BNB?
Due to his links with Binance and the Aster team, several people interpreted CZ’s post as a subtle shill for BNB or the ASTER token. The Binance Chain token notably got a significant boost from major updates in its ecosystem, particularly Binance’s partnership with Chainlink and Nasdaq-listed digital asset treasury (DAT) companies, like CEA Industries and Nano Labs, stacking BNB.
On the other hand, ASTER saw a significant recovery after dropping by a double-digit percentage point in the last 24 hours. This came following DeFiLlama’s delisting of its perpetual volume metrics due to suspicions of wash trading.
0Xngmi, the platform’s pseudonymous founder, raised the alarm on the token upon finding out that its volume has begun mirroring the perpetuals volume on Binance in recent days. He illustrated this by showing the tight correlation between the volumes of Aster and Binance during the weekend, which does not exist on Hyperliquid (HYPE).
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