The cryptocurrency market sentiment has taken a sharp turn south, with the Fear and Greed Index today plummeting to 20—down from 27 just yesterday, according to data from Alternative. This dramatic 7-point collapse signals that investors are operating in a state of maximum anxiety and extreme fear.
For context, the Fear and Greed Index operates on a 0-100 scale, where readings below 25 indicate panic-level sentiment. A reading of 20 places the market in the most pessimistic territory, suggesting widespread capitulation among traders. This kind of extreme fear often coincides with capitulation