Crypto fear and greed index hits its lowest since September

The Crypto Fear and Greed index fell to 25, the lowest level since September 2024, signaling an extreme fear on the market while Bitcoin falls below $ 93,000.

The index of fear and greed, provided by the development company of alternative software, measures the feeling of the market on a scale of 0 (extreme fear) to 100 (extreme greed).

Since February 25, the index has abandoned 24 points from 49 to 25 in a single day, going from “neutral” to “extreme fear”, its lowest level since 2024, when it was at 22.

This sharp decline follows a broader sale of the market. In the past 24 hours, Ethereum (Ethn) and Solana (GROUND) dropped by 10% and 14% respectively, while Bitcoin (BTC) fell below $ 93,000. Coinciding with Bitcoin’s decline, withdrawals from Bitcoin ETF have now exceeded $ 1 billion in the past two weeks.

According to Coinglass dataThe drop in the cryptography market resulted in $ 957.85 million in liquidations, of which $ 886.47 million came from long positions.

The open interest, on the other hand, decreased by 5% to $ 108 billion, which indicates a drop in risk tolerance. The wave of liquidations indicates a previously too optimistic posture, which has aggravated the sale by destroying the leverages.

This withdrawal may have been widely triggered by additional pressure on cryptographic markets due to macroeconomic uncertainty.

The markets were alarmed by the disclosure of American president Donald Trump that his administration goes ahead with 25% price in Canada and Mexico. In addition, concerns about Fed delay rate reduction due to higher than expected inflation data have maintained high borrowing rates.

The hacking of $ 1.4 billion, which is one of the largest exchange exploits of all time, has also had a negative impact on the feeling of the market. While the bit was successful By covering the loss of hacking, the market is still in shock from security problems surrounding the incident.

However, analysts noted that the market response is even more measured than when the FTX collapsed in 2022, even if the feeling is weak. This indicates a market for crypro-monnaments in the process of maturing.