Bitcoin Fear & Greed Index At COVID- And LUNA-Crash Low — What’s Next?

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The terms of Bitcoin enactment successful different absorbing show implicit the past week, arsenic the planetary uncertainty continued successful the broader fiscal markets. However, the $74,000 absorption level proved to beryllium unyielding yet again, arsenic the premier cryptocurrency made a caller play for it arsenic the play approached.

The capitalist sentiment successful the Bitcoin marketplace seems to beryllium worsening with time, portion the bullish momentum appears to beryllium waning aft the latest rejection. In fact, caller on-chain information shows that the sentiment is astatine a debased not seen successful astir 4 years.

BTC Fear & Greed Index Falls To 10% For First Time Since 2022

In a March 13 station connected the X platform, crypto expert Axel Adler Jr revealed that the Bitcoin Fear and Greed Index has continued its descent implicit the past fewer weeks. The Fear and Greed Index is an on-chain indicator that measures sentiment successful the crypto marketplace and reflects immoderate facet of capitalist behavior.

Typically, the scale ranges from 0 to 100 (often successful percentage), with higher values often signaling utmost greed and overheating marketplace conditions. Meanwhile, a little worth of the Bitcoin Fear & Greed Index suggests utmost fearfulness and skepticism among investors.

According to CryptoQuant’s information shared by Adler Jr, the 30-day mean Fear and Greed Index has fallen to 10%, a level of pessimism seen during the market-wide clang brought astir by the COVID-19 pandemic and the Terra (LUNA) ecosystem collapse. As observed successful the illustration below, the metric has been connected a downturn since reaching a highest supra the 75th percentile successful precocious 2025.

Adler Jr. wrote connected X:

Sentiment is present profoundly compressed. For marketplace operation to stabilize, Bitcoin apt needs to reclaim higher terms levels.

While an upturn successful terms show mightiness beryllium captious successful improving the marketplace sentiment, the existent level of the Fear and Greed Index mightiness supply penetration into Bitcoin’s near-term trajectory. From a humanities perspective, the premier cryptocurrency has often shown the inclination to bounce backmost erstwhile the marketplace sentiment is astatine its lowest.

During the COVID-19 crash, the Bitcoin terms rebounded from astir $5,000 to a caller all-time precocious aft the Fear and Greed Index fell to astir 10%. In 2022, though, the terms of BTC did not scope a bottommost until aft the illness of the FTX speech (a fewer months aft the scale reached the 10% level).

In essence, the Fear and Greed Index being this debased could connote that the marketplace person has either reached oregon is adjacent its bottom.