The panic sentiment in the crypto market continues to rise, with the index hitting a new low of 20 points

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According to Alternative data monitoring, the cryptocurrency investment market’s Fear and Greed Index has dropped to 20, down from 21 the previous day, indicating that investor sentiment is continuing to deepen into extreme fear.

The Index’s Low Point Reflects a Shift in Market Sentiment

The current reading of 20 points signifies that the market is in the “extreme fear” zone. This index is derived from a comprehensive assessment of multiple dimensions, with volatility carrying the highest weight (25%), and trading volume also being crucial (25%). These two indicators directly reflect the level of market instability.

Multi-Dimensional Data Point to a Pessimistic Signal

In addition to trading activity anomalies, social media heat (15%) and market survey data (15%) are also conveying negative signals. Furthermore, Bitcoin’s proportion in the overall market (10%) and Google search trend analysis (10%) further enhance this evaluation system.

When multiple dimensions simultaneously point to panic, the shift in market sentiment becomes particularly evident. Investors’ concerns about the future are gradually increasing, which is fully reflected in the index reaching new lows.

BTC-3,42%
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