Although the crypto sentiment index hasn’t fallen this low in more than eight months, some analysts argue the situation isn’t as dire as it appears. Crypto sentiment has dropped to its most fearful level in over eight months, as ongoing macroeconomic uncertainty continues to rattle market participants. However, crypto analysts are anticipating the bearish mood to be short-lived. The Crypto Fear & Greed Index, which measures overall market sentiment, posted an “Extreme Fear” score of 10 in its Saturday update, the lowest score it has seen since Feb. 27, as Bitcoin (BTC) fell below $95,000 on Friday and has yet to reclaim above $96,000 at the time of publication, according to CoinMarketCap. Read more
Crypto sentiment platform Santiment warned that when many people start calling a crypto market bottom, it’s wise to stay skeptical. Crypto market lows are unlikely to form at moments when many analysts and traders are calling for one, according to crypto sentiment platform Santiment. “Be cautious when you see a widespread consensus forming about a specific price bottom,” Santiment said in a report on Saturday, adding that “true bottoms often form when the majority expects prices to fall further.” Santiment said that this has recently emerged as a trending topic on social media after Bitcoin (BTC) briefly fell below $95,000 on Friday amid a wider technology stock decline. “This suggests many traders believe the worst is over,” Santiment said, arguing that historically such sentiment is often followed by further downside. Read more