The crypto market has contracted significantly. Crypto 'Fear-Greed Index' hits 30 for the first time this year, BTC crashes below $60K
Crypto data provider Alternative's self-estimated Fear-Greed Index fell 21 points from the previous day to 30. The deterioration in sentiment has shifted it from neutral to fear. Sentiment has contracted to levels last seen on September 12th of last year. The index indicates extreme fear in the market when it is close to zero, and extreme optimism when it is close to 100. The Fear Greed Index is calculated based on volatility (25%), trading volume (25%), social media mentions (15%), surveys (15%), Bitcoin market capitalization (10%), and Google searches (10%).
Meanwhile, about 7 hours ago, BTC broke below $60,000, according to market monitoring. On the Binance USDT market, BTC was trading at $59,984.18. Currently, it is slightly up and back above $60K.
Crypto analyst Julio Moreno said, "The final support for Bitcoin is around $56,000 based on the Metcalfe price assessment bands. This indicator has previously acted as resistance at previous highs, but also as support in May. A break of this support could lead to a significant pullback." "The Bitcoin network's hashrate has dropped 6% since reaching an all-time high on April 24, and the hashrate is now at its lowest level since March 17. Bitcoin miners are receiving lower rewards as prices fall and fees plummet."
