Crypto market sentiment collapses as CoinMarketCap’s Concern and Greed Index crashes to 9, signaling deep nervousness regardless of Bitcoin and majors stabilizing.
Abstract
- CoinMarketCap’s Crypto Concern and Greed Index has dropped to 9, close to its yearly low of 5 on Feb. 6, marking sustained “Excessive Concern” throughout the market.
- The index blends worth momentum, BTC/ETH volatility, choices positioning, stablecoin provide, and social information to border whether or not sentiment is overly fearful or grasping.
- Bitcoin, Ethereum, and Solana costs have stabilized off current lows whilst sentiment stays depressed, turning the index right into a context instrument slightly than a direct buying and selling sign.
Crypto’s temper has flipped to panic, and CoinMarketCap’s personal gauge is flashing purple to show it. The platform’s CMC Crypto Concern and Greed Index presently sits at simply 9, firmly in “Excessive Concern,” down from 15 per week in the past and effectively beneath the “Impartial” studying of 41 seen final month. Yesterday’s rating was 8, whereas the yearly low hit 5 on Feb. 6, underscoring how aggressively sentiment has reset regardless of a nonetheless‑elevated market cap backdrop.
CoinMarket Cap’s Concern and Greed Index lowers to -9
CoinMarketCap describes the instrument as “a strong instrument that analyzes market sentiment that can assist you make knowledgeable crypto funding choices,” framing it as essentially the most “trusted measure of general crypto market sentiment” and “the primary, most cited and most trusted index of its form” amongst mainstream monetary retailers. The index runs on a 0–100 scale, the place a decrease worth signifies excessive worry and the next worth “excessive greed,” successfully quantifying what many merchants solely really feel anecdotally in worth motion. Because the launch word put it, “this progressive index supplies a large‑ranging and quantifiable evaluation of worry and greed for your complete cryptocurrency business.”
Methodologically, the indicator pulls from 5 pillars: worth momentum throughout the highest 10 non‑stablecoin belongings, ahead‑trying volatility by way of BVIV and EVIV for Bitcoin and Ethereum, choices put/name ratios, market composition by the stablecoin provide ratio, and CMC’s personal social‑development and engagement information. The Academy explainer stresses that “excessive worry probably signifies undervalued asset costs, whereas excessive greed probably signifies frothy valuations and overvalued asset costs,” echoing Warren Buffett’s maxim to “be fearful when others are grasping and grasping when others are fearful.”
In spot markets, Bitcoin (BTC) trades close to $70,505 with roughly $42.8b in 24‑hour quantity. Ethereum (ETH) modifications fingers near $2,096, on about $20.9b in turnover. Solana (SOL) is round $87.6, after a 24‑hour vary between roughly $86.2 and $88.6. That pricing backdrop traces up with a broader rebound in digital belongings, with Bitcoin just lately reclaiming the $71,000 space after final week’s washout and complete crypto market capitalization transferring again above $2.4t.
For merchants, the sub‑10 print is much less a buying and selling sign than a context marker. CoinMarketCap is express that the Concern and Greed Index “is just not an ideal indicator in itself however can present a helpful measure of the market’s sentiment,” greatest used alongside technicals, flows and macro drivers. In different phrases: quantify the worry, then determine whether or not you’re buying and selling with the herd or towards it.
