Bitcoin Sentiment Whiplash: Greed To Extreme Fear In Days

As the dread & Greed Index has reached severe dread, Bitcoin market sentiment has changed sharply.

Bitcoin Fear & Greed Index Returns To Extreme
Alternative's “Fear & Greed Index” measures Bitcoin and cryptocurrency traders' average emotion.

The index measures investor attitude using market cap dominance, trading volume, volatility, Google Trends, and social media mood. It employs a 0–100 scale to express emotion.

The Fear & Greed Index over 53 indicates that most traders are greedy. Fear dominates if the indicator is below 47. Any value between these two cutoffs is net neutral.

Besides these three basic sectors, there are two ‘extreme’ zones: extreme fear (25 and under) and excessive greed (75+). Recent Fear & Greed Index values indicate market mood is in one of these zones.

Bitcoin market sentiment is near severe dread, with the dread & Greed Index at 24. This degree of trading pessimism is new; prior attitude was considerably better.

The index hit 61 on January 15, putting the typical investor in greed mode. Six days later, everything changed.

Due to unfavorable bitcoin market activity after US President Donald Trump threatened tariffs on various European nations over Greenland, this change occurred.

The prior greed emotion followed a significant trader mindset movement. As Bitcoin's price rose beyond $97,000, the Fear & Greed Index soared from 26 to 61 in two days.