Crypto sentiment gauge hits FTX-era lows as 'extreme fear' reaches a 9 reading

The Crypto Fear and Greed Index plummeted to 9 on Friday, marking the bleakest sentiment since the FTX collapse and classifying the mood as "extreme fear." This sharp decline, down from 12 the day prior and 42 last month, was triggered by Bitcoin's recent drop across the market, which forced significant deleveraging. The index, which combines metrics like volatility, momentum, social media engagement, and search interest, is pushed lower by increased volatility and fear-driven searches. Although Bitcoin briefly traded near $60,000 before rebounding toward $65,000, the extreme fear reading suggests traders are currently prioritizing selling over buying. Historically, extreme fear has often coincided with local market bottoms as panic flushes out leveraged traders, but the index serves as a snapshot of market stress rather than a precise timing tool for future price movements.

(Source：CoinDesk)