Crypto fear & greed index falls to 44 on fears of market wipeout

The Crypto Fear & Greed Index has fallen to a low-month-old 44-month-old crypto-market crash of $ 2.2 billion earlier today.

The indexThose crypto market sentiments and emotions represent on a scale of 0 to 100, had not fallen below 50 since 12 October. Located by the announcement of US President Donald Trump of double digit trading rates on Canada, Mexico and China, the total crypto market capitalization fell nearly 12% in the early hours of 3 February, with Bitcoin (BTC) only decreased by more than 5%. The index immediately fell from a “moderate greed” score from 60 to a “fear” score of 44, which indicates a sale.

Although the current sale statistically the largest liquidation event in the crypto history is more than $ 2.2 billion at the time of the press, the index score does not yet indicate the existence of a continuing market sale, as registered during Bear Markets in 2018, 2019 and 2022.

Until now, the prevailing market consensus seems to be that current market conditions are a blip in a bull market and do not mean the start of a long -term downward trend. Willy Woo on-chain analyst has recorded the sentiment in an X-post where he stated that Bitcoin has become such a psychologically powerful concept that it is effective to fail.

At the time of printing, the expression “Buy the dip“Was one of the best trending topics on X, while both Bitcoin and Ethereum slowly recover from their respective 24-hour lows.

Bitcoin restored 4 percent of a 24-hour low of $ 91,200 to around $ 95,000, while Ethereum took off from his 24-hour low from $ 2,368 to around $ 2,600 on the press. Tether also recovered from a 24-hour low from $ 0.99946 to around $ 1,00085 on Monday morning.

The relatively unusual resilience of the Fear & Greed Index score versus The current market blood bath will be interpreted by some to mean that large institutional investments in Bitcoin have created a calming effect in notorious volatile crypto markets through microStrategy.