The crypto market is in a full-on panic mode right now, with the Fear and Greed Index plunging to 25—its lowest point since September 2024. That’s a nosedive from 49 just a day ago, flipping the mood from “Neutral” to “Extreme Fear” as Bitcoin slips under $93,000. For context, this index, cooked up by the software folks at Alternative, tracks how jittery or jazzed investors are on a scale from 0 (pure dread) to 100 (wild optimism). At 25, it’s safe to say dread’s winning.
This isn’t just a Bitcoin story, either. The past 24 hours have been brutal across the board—Ethereum’s down 10%, Solana’s taken a 14% hit, and the whole market’s feeling the squeeze. Bitcoin exchange-traded funds (ETFs) aren’t helping; they’ve seen over $1 billion yanked out in the last two weeks. Meanwhile, Coinglass data shows nearly $958 million in liquidations, with $886 million of that from folks betting big on a price surge that never came. Open interest—the cash still in play—dropped 5% to $108 billion, a sign that traders are pulling back and playing it safe.
So, what’s spooking everyone? A lot, actually. Macroeconomic jitters are front and center. On February 24, President Trump dropped a bombshell, announcing his administration’s pushing ahead with 25% tariffs on Canada and Mexico. That’s got markets on edge. Add to that the Fed’s hesitation on cutting rates—thanks to stickier-than-expected inflation keeping borrowing costs high—and you’ve got a recipe for unease. Then there’s the $1.4 billion Bybit hack, one of the biggest exchange heists ever. Bybit managed to cover the loss, but the stench of security worries is still hanging in the air.
That said, it’s not all doom and gloom. Analysts point out that while the vibes are grim, the market’s holding up better than it did during the FTX meltdown back in 2022. Back then, it was chaos; now, it’s more like a controlled cringe. That resilience hints at a crypto scene that’s growing up a bit, even if it’s stumbling through some rough patches right now.
