According to analytics platform Santiment, XRP and Litecoin (LTC) are currently experiencing heightened levels of fear of missing out (FOMO). These two cryptocurrencies are emerging as “high-risk high-reward investments,” noted the platform.
Santiment highlighted that while XRP and LTC could continue to climb, the crowd’s euphoria towards these assets renders them high-risk, high-reward investments this week. Over the past 24 hours, XRP and LTC have risen by 2.9% and 2.6%, respectively, as reported by CoinGecko.
FOMO is a unique psychological phenomenon that has piqued scholarly interest over the past two decades. First coined in 2004, the term found its way into the Oxford Dictionary in 2013. In the realm of investing, FOMO describes the anxiety of missing out on potential gains, driven by the apprehension that others might be reaping significant rewards.
Social media platforms amplify FOMO, exposing users to enticing investment opportunities in cryptocurrencies shared by influencers. Morgan Housel, the award-winning author of “The Psychology of Money,” recently emphasized the importance of managing FOMO, calling it one of the most crucial financial skills.
Meanwhile, Bitcoin, the leading cryptocurrency, has made a remarkable recovery, surpassing the $65,000 mark for the first time in weeks. The Fear & Greed Index now indicates “greed” with a score of 65 out of 100, showing a significant improvement in market sentiment compared to just days ago when the index was still in “fear” territory.
