Fear Index Drops to 12, Sentiment at Extreme Lows
According to Alternative.me data, the crypto Fear & Greed Index has fallen to 12 today, down from 18 yesterday (also in the 'Extreme Fear' zone). The index, which ranges from 0 (extreme fear) to 100 (extreme greed), now sits near historical lows — the all-time bottom of 6 was recorded during the 2022 bear market. This indicates that investor panic has intensified, with strong risk aversion dominating the market.
Extreme fear readings are often associated with sharp price declines or persistent sideways movements. Historically, when the index remains below 20 for an extended period, it tends to signal a potential bottoming process for Bitcoin and major altcoins. However, the magnitude of any short-term recovery depends on macro liquidity conditions and selling pressure. Traders should brace for high volatility and manage positions cautiously.
