Bitcoin has recently returned to around 78k. Now, this panic and greed index has already come back to 46.

Although it’s still in the panic phase, compared with last month’s index of 11, there’s been a very clear improvement. I know that some investors invest based on the index—when the panic index falls below a certain number, they buy aggressively. If you started buying today when the panic index was below 10, then by now you should have at least a 30% return.
Personally, I don’t think this reference value is that useful. At any time during a decline, even if the panic index is 10—or even below 10—it’s still possible to go to an even lower level. On the other hand, when the market is extremely greedy and FOMO starts, it doesn’t mean the market will necessarily go to a higher level. In the past, there have also been times when the index reached above 85, and the market still saw another doubled-up move. The index is just a reference—it's best not to use it as a standard for investment. $BTC ‌