Crypto Sentiment Index Crashes To Its Lowest Score Since February

Crypto sentiment has fallen to one of its darkest points this year, even as several analysts argue that the current wave of fear could mark the start of a healthier setup for Bitcoin and the broader market.

The widely watched Crypto Fear & Greed Index dropped to a score of 10 in its Saturday reading, signaling “extreme fear” and marking its lowest level since late February. The move came as Bitcoin slipped below $95,000 on Friday and struggled to hold above $96,000, according to CoinMarketCap data, leaving investors on edge about the next big move.

Back in February, a similar plunge in sentiment followed record daily outflows of $1.14 billion from U.S. spot Bitcoin ETFs, when Bitcoin slid from around $102,000 at the start of the month to nearly $84,000 shortly after. Many traders now use these sentiment gauges as an extra signal alongside price charts to decide whether conditions favor buying or taking risk off the table.

Andre Dragosh, head of research for Europe at Bitwise, argued that the current downturn looks less severe than previous corrections when sentiment and prices both collapsed more dramatically. Bitwise’s internal crypto sentiment index is already flashing signs of a possible reversal, he noted.

Macro uncertainty, particularly around the U.S. Federal Reserve’s next interest-rate decision, continues to weigh on risk assets, even after U.S. President Donald Trump signed a bill to end the country’s longest-ever government shutdown, an episode that some traders had blamed for earlier volatility.

Still, market technicians see reasons for cautious optimism. Analysts point to bullish chart structures and what they describe as positive divergences between price and momentum. Others say the absence of a euphoric year-end rally may actually reduce the risk of a sharp blow-off top and painful correction in early 2026, potentially setting the stage for a more durable uptrend.