A multi-day ‘indecent misfortune’ reading in a widely-followed sentiment index might perchance perchance be indicative of bitcoin prices environment a bottom sooner than transferring better in the arriving weeks — with a beforehand an identical setup preceding a 200% upward thrust in BTC.
The Apprehension and Greed Index, which measures investor emotions in markets like bitcoin, starting from 0 (lowest sentiment) to 100 (best sentiment), has proven an prolonged ‘indecent misfortune’ reading in the previous several days as prices whipsawed between the $83,000 and $95,000 ranges.
Bitcoin Apprehension & Greed Index: EXTREME FEAR!
For the foremost time since September 2024—when BTC was at $53K—we’re seeing sustained Unpleasant Apprehension in the market.
Closing time this took place? $BTC 2x’d in the next 3 months.
Will history repeat itself? pic.twitter.com/Qtjrfn2j1N
— Kronos Study 🟠 (@KronosResearch) March 5, 2025
The index helps establish whether or now not investors are too apprehensive (skill looking to search out opportunity) or too greedy (that you might perchance perchance factor in market correction), tending to act as a contrarian indicator in the quick term. It is in accordance with trace volatility and momentum, social media sentiment, Google trends records and bitcoin’s overall market fragment.
“Bitcoin’s drop into ‘Unpleasant Apprehension’ on the Apprehension & Greed Index, its first since September 2024, when BTC traded at $53K, echoes a pivotal historical low,” Vincent Liu, CIO at trading firm Kronos Study, advised CoinDesk in a Telegram message. “Support then, Bitcoin’s worth doubled over the next three months, hinting at a skill looking to search out opportunity for savvy investors.”
“Amid lately’s market volatility, fueled by trade tariffs and broader macroeconomic uncertainties, this moment might perchance perchance emerge as a golden entry level, equipped world trade tensions ease and overall financial sentiment strengthens,” Liu added.
Bitcoin and several fundamental tokens, in conjunction with Cardano’s ADA, Solana’s SOL and xrp (XRP), surged Sunday following President Trump’s announcement of a U.S. crypto strategic reserve.
But the preliminary excitement was quick-lived due to revenue-taking amid the shortage of concrete plans and a risk-off temper in broader equity markets.
Trump’s tariff announcements on Canada, Mexico, and China extra impacted markets, and merchants are now expecting more readability from the upcoming White Dwelling Crypto Summit for cues on future positioning.
