- Bitcoin’s Concern & Greed Index dropped to 25, signaling ‘Excessive Concern’ as BTC fell beneath $90K.
- Traditionally, Bitcoin has rebounded from concern zones inside two months, usually hitting new all-time highs.
- Bitwise’s Jeff Park warns that fear-driven hesitation results in missed alternatives, as Bitcoin tends to surge earlier than buyers regain confidence.
Bitcoin simply slipped beneath $90K for the primary time since August 2024, and with it, the Concern & Greed Index has plunged to 25, signaling ‘Excessive Concern’ available in the market.
Humorous factor? The final time Bitcoin was at this stage, it skyrocketed 78% to $88K by November. Again then, buyers have been feeling grasping at these costs—now, they’re panicking.
Concern Turns to Greed… Then Again to Concern
The previous 18 months have been a wild journey for Bitcoin, fueled by:
- BlackRock’s preliminary spot ETF submitting, which ignited bullish momentum.
- The precise ETF launch, solidifying institutional assist.
- Donald Trump’s 2024 election win, pushing Bitcoin previous $100K.
Every time Bitcoin has entered the ‘Excessive Concern’ zone, it has traditionally bounced again inside two months, usually resulting in new all-time highs. However then once more, throughout the brutal 2022 bear market, it took over a 12 months to recuperate.
coigecko.com
Bitwise Exec Says It’s a Acquainted Cycle
Jeff Park, Head of Alpha Methods at Bitwise, isn’t fazed by the concern—he’s seen all of it earlier than:
“I’ve seen this film too many instances. Folks want for decrease costs, however once they get them, they lose religion. Then Bitcoin rips. By the point they’re prepared to purchase, it’s already at new all-time highs.”
So, is that this simply one other setup for Bitcoin’s subsequent rally? Or is the market in for a deeper correction earlier than any bounce?
For now, historical past means that concern doesn’t final lengthy—however timing it proper? That’s the difficult half.