Crypto Sentiment Nosedives to ‘Extreme Fear’ as Bitcoin Falls Below $106K

Crypto Sentiment Nosedives to ‘Extreme Fear’ as Bitcoin Falls Below $106K

Market sentiment has plunged to its lowest in seven months as Bitcoin’s price dip sparks renewed anxiety across the crypto landscape.

The Crypto Fear & Greed Index tumbled 21 points to a score of 21/100 on Tuesday — signaling “Extreme Fear,” according to Alternative.me. This marks the steepest single-day drop since April, when the index hit 18 amid global market turmoil.

Bitcoin (BTC) briefly slipped to $105,540, its lowest level in over three weeks, before recovering to around $106,700, per CoinGecko. The decline reflects a 2% intraday loss and follows last week’s heavy ETF outflows of nearly $800 million, highlighting fading institutional demand.

The downturn comes despite the Federal Reserve’s second rate cut of 2025, as investors grew wary of the central bank’s hawkish tone suggesting no further cuts this year.

The index has swung sharply between “Extreme Fear” and “Neutral” since early October’s flash crash, when Bitcoin plunged from above $126,000 to under $110,000.

While sentiment remains fragile, bulls are eyeing a potential rebound — dubbed “Moonvember” — as historical data shows Bitcoin averaging +42% gains in November, its strongest month on record.

Key Takeaways

• Fear & Greed Index: 21/100 (“Extreme Fear”)

• Bitcoin Price: $106,700 (−2% intraday)

• ETF Outflows: ~$800M last week

• Historical Pattern: November averages +42% gains

See all our insights: Bitcoin World News