2026-01-05 06:21:49

At the start of the new year, Bitcoin delivered a strong opening for the market—breaking out from a sideways movement around $88,000 at the end of the year to surge above $93,000. However, behind this rally, there is an interesting contrast.

Just look at the Fear and Greed Index, which is only at 20 (out of 100), still in the "Extreme Fear" zone. While the price is rising, market sentiment hasn't caught up—this kind of situation is quite common in the market and usually indicates something.

Yesterday's market was like a roller coaster. Bitcoin briefly surged to $90,500 in the morning, but then suddenly plummeted in the afternoon, even falling below $90,000, causing many long traders to be forcibly liquidated. With the new year's trading session underway and traditional financial markets ending their holiday break, everyone is recalculating the value of crypto assets. Technical indicators turning positive combined with expectations of macro policies may have been the driving force behind this rally.

But the problem is, market sentiment hasn't improved along with the price increase. What does this mean? Probably that many people still lack confidence in the future trend. A battle between bulls and bears concerning the year's overall direction is quietly underway. Let's wait and see how it unfolds.

BTC-0.95%

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CryptoGoldmine

· 13h ago

The fear index is only at 20, yet the price is soaring. I've seen this kind of divergence several times. From the perspective of computing power profit ratio, this is actually a good opportunity to position oneself. The areas where retail investors are fearful are often when institutions are accumulating at low prices.

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SchrodingerWallet

· 01-05 06:51

The index is only at 20 and still in extreme fear. This surge to 93,000 is completely driven by sneaky funds acting behind the scenes. The coin price is rising but the market isn't, a typical main force accumulation rhythm. Retail investors are still questioning their lives. That plunge yesterday directly crushed a bunch of long positions, really satisfying. With the fear index so low, they still dare to push it up. The future could either see a volume spike and a sell-off or a direct break to a new high, with no middle ground. Whether 90,000 can hold is the key; if broken, it might test 88,000 again.

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Blockblind

· 01-05 06:50

The fear index is only at 20 and still rising? That's not right, it indicates that the main players are accumulating shares.

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NeverVoteOnDAO

· 01-05 06:48

The fear index at 20 is a bit outrageous. The price is already at 9.3, but the sentiment is still so low. Something's not right. Playing the same old game of sharp rises and falls has gotten boring. The new wave of retail investors is about to be squeezed again. A divergence between the index and the price is the most dangerous signal. Fluctuating around 90,000—let's see who crashes first. Brothers forced to liquidate... Happy New Year. With such a cold sentiment, things won't be easy later. Traditional finance is full of uncertainties right from the opening, lacking confidence.

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LongTermDreamer

· 01-05 06:44

The Fear Index is still at 20, indicating extreme fear. Isn't this a traditional bottom signal? Over the past three years, every time this happens has been a good opportunity to get in. The historical cycle theory in the crypto world has never lied to me. The traders who got liquidated have paid their tuition again. To put it simply, they were thinking too quickly. As for me, I hold long-term without selling, and when prices drop, I add more. Looking back three years later, the current price of over 90,000 is practically a bargain. No matter how you look at it, there's no loss.

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Token_Sherpa

· 01-05 06:43

price action screaming one thing but sentiment chart saying another... classic ponzinomics symptom ngl. btc doing the pump without the conviction behind it is exactly how these velocity traps start forming. seen this movie before, rarely ends pretty for the latecomers eating fomo sandwiches.

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SelfCustodyIssues

· 01-05 06:38

This index is only 20? Brothers are still in extreme fear, and the coin price is already 9.3. What does that mean... --- Forced liquidation is probably by leverage traders, serves them right. --- Wait, is this absorbing funds or inducing a short squeeze? I can't quite understand. --- The fear index is so low, yet people are still rushing in. What are the main players doing? --- Signs of a top in the bull market? No, no, it should be bottoming out with oscillations. --- The market is so fierce but people's hearts haven't caught up. Typical retail investors are still on the sidelines. --- It's already 9.3K and still in extreme fear. This wave will either surge dramatically or crash sharply. --- There must have been quite a few liquidations yesterday, again due to leverage. --- The market sentiment is cold despite the price rise, which is not surprising. The market is never short of numb people.

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GateUser-e51e87c7

· 01-05 06:36

The Extreme Fear Index is only at 20 and still rising. That's not a good sign; there might be a trap ahead.

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At the start of the new year, Bitcoin delivered a strong opening for the market—breaking out from a sideways movement around $88,000 at the end of the year to surge above $93,000. However, behind this rally, there is an interesting contrast.

Trending Topics

Gate2025AnnualReport

BitcoinSix-DayRally

MemeCoinRebound

JusticeDepartmentSellsBitcoin

My2026FirstPost

Hot Gate Fun

OVY

Ovylus

Ra Ra

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阿爸爸爸

爹来了

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At the start of the new year, Bitcoin delivered a strong opening for the market—breaking out from a sideways movement around $88,000 at the end of the year to surge above $93,000. However, behind this rally, there is an interesting contrast.

Trending Topics

Gate2025AnnualReport

BitcoinSix-DayRally

MemeCoinRebound

JusticeDepartmentSellsBitcoin

My2026FirstPost

Hot Gate Fun

OVY

Ovylus

Ra Ra

ranjha

阿爸爸爸

爹来了

2026

2026

pepe1

pepep

Pin

Your First Words Matter! Share your first post on and split $10,000 in New Year rewards. Post with #My2026FirstPost to share your New Year wish 2026U Position Voucher, Gate New Year boxes, F1 Red Bull merch await you! Ends on Jan 15, 2026, 16:00 UTC 2026 starts with this post!

Your First Words Matter!
Share your first post on and split $10,000 in New Year rewards.
Post with #My2026FirstPost to share your New Year wish
2026U Position Voucher, Gate New Year boxes, F1 Red Bull merch await you!
Ends on Jan 15, 2026, 16:00 UTC
2026 starts with this post!