The Bitcoin Fear & Greed Index has plummeted to "extreme fear," scoring 25 out of 100.
This drop followed Bitcoin’s intraday low of $58,134 on Monday on Bitstamp. CoinGlass data reveals that over $123 million in long positions were liquidated.
Last Monday, Bitcoin experienced a significant crash, falling to $49,557 on Bitstamp, influenced by global stock market contagion. However, Bitcoin quickly rebounded along with global stocks, reclaiming the $60,000 level by Thursday. This marked Bitcoin’s most substantial rally since February 2022.
Institutional investors played a key role in the recovery, with BlackRock’s Bitcoin ETF remaining stable despite the market downturn. Nonetheless, Bitcoin bulls faced challenges in sustaining momentum, with the cryptocurrency failing to stay above $60,000.
JPMorgan analysts recently warned of a lack of bullish catalysts for Bitcoin, highlighting the vulnerability of equities as a concern for crypto.
At the time of writing, S&P 500 and Nasdaq futures are flat, suggesting Bitcoin’s bearish trend is not directly tied to the stock market. Additionally, Bitcoin has formed its first death cross of 2024, which might indicate a bearish reversal, though this is often considered a lagging indicator based on historical data.
Bitcoin tumbled sharply today, shedding more than 3.5% in a matter of hours and briefly flirting with the critical $100,000 level.
Bitcoin is treading water near $105,000, but pressure is building on both sides of the trade as macro forces tighten.
BlackRock is making another assertive move into digital assets, quietly expanding its crypto portfolio with sizable purchases of both Bitcoin and Ethereum.
In a move that signals changing tides in traditional finance, JPMorgan is preparing to accept Bitcoin ETF holdings as collateral for loans—starting with BlackRock’s iShares Bitcoin Trust, according to insiders familiar with the plan.