Bitcoin Plunges 4% as Fear and Greed Index Hits Historic Low

Bitcoin plunged more than 4% to $64,300, losing over $3,000 in less than two hours and erasing gains since Friday. It had touched $68,600 on Saturday but now sits at support at the bottom of a range-bound channel that formed after its Feb. 6 wipeout to $60,000.

The asset is trading 48% below its October all-time high of $126,000 and 5.5% below its 2021 peak of $69,000. More than 136,000 traders were liquidated over the past 24 hours, with total liquidations at $458 million and 92% of those positions leveraged long, CoinGlass recorded.

Alternative.me’s Crypto Fear and Greed Index fell back to 5 out of 100, indicating 'extreme fear' — a level reached only three other times since the index launched in 2018: August 2019, June 2022 and earlier this month. On-chain analytics firm Glassnode said the seven-day moving average for net realized losses for recent investors remained nearly $500 million per day, noting that participants are still capitulating and that the market remains under pressure as base formation continues.

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