Сrucial sentiment indicator is ready to revisit epic 34-month low as panic accelerates
Developed by portal Alternative.me, the cryptocurrency Fear and Greed Index has again fallen to levels it touched amid the Terra (LUNA) collapse.
Bears pushed Crypto Fear & Greed index to multi-month lows
Today, on June 14, 2022, the Crypto Fear and Greed Index—an integral indicator of investor sentiment—plummeted to 8/100. The last time it was this low was August 2019.
The current position should be interpreted as “extreme fear”. In May 2022, it also dropped to 8/100. In August 2019, when Bitcoin (BTC) was struggling to stay above the $10,000 level, this indicator hit a low of 5/100; it was the all-time low.
Surprisingly, even amid the unmatched carnage of Crypto Black Friday that sent the Bitcoin (BTC) price to $3,150, investors showed more optimism about its performance.
This recession is also a record: for the first time ever, the Crypto Fear and Greed Index remains in the “Extreme Fear” bearish zone for more than six consecutive weeks.
Is the bottom in?
This painful dropdown should be attributed to an array of dramatic events for the cryptocurrency segment. In mid-May, 2022, UST stablecoin and Terra (LUNA) protocol collapsed due to an imbalance in the Anchor Protocol.
As the decline in Bitcoin (BTC) has accelerated, hybrid blockchain service provider Celsius Network is on the verge of a crash, accompanied by a 50% drop in the CEL price.
However, many seasoned experts, including economist Raoul Pal, are sure that we should brace ourselves for more pain coming in the next few weeks.
