Cryptocurrency market sentiment drops to extreme panic, with the panic index reaching 20

OnChainDetective · 2026-01-01T02:04:11+00:00

The cryptocurrency market is currently experiencing extreme panic sentiment, with the Fear and Greed Index dropping to 20. Participants are cautious, trading and search activity have declined, and Bitcoin's dominance has weakened, indicating market unease and sluggishness.

OnChainDetective

2026-01-01 02:04:11

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【BlockBeats】The panic sentiment in the cryptocurrency market continues to spread. According to Alternative data, the Fear and Greed Index has dropped to 20, down from 21 the previous day, indicating that the market has entered a state of “extreme fear.”

How is this index calculated? The official methodology covers six dimensions: volatility accounts for 25%, market trading volume accounts for 25%, social media activity accounts for 15%, market surveys account for 15%, Bitcoin’s proportion in the overall market accounts for 10%, and Google search trend analysis accounts for 10%. The entire index ranges from 0 to 100, with closer to 0 indicating greater market fear, and closer to 100 indicating higher greed.

Currently, the index is at a low of 20, suggesting that market participants are extremely cautious at this moment. Trading activity and search interest are both declining, and Bitcoin’s dominance is weakening—these are typical signals of market panic.

BTC-1.05%

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MetaverseVagabond

· 8h ago

The number 20... it makes me uncomfortable just looking at it. I guess we really have to wait this one out.

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AllTalkLongTrader

· 8h ago

20 really isn't far from the bottom; I think this wave needs to drop to single digits to stop the bleeding.

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CommunitySlacker

· 8h ago

Is it already 20? Is it time to buy the dip... or should it drop a bit more?

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MEVSandwichVictim

· 8h ago

Oh my, it's already 20. This is really the moment to cut losses. Who still dares to buy the dip? When it drops to 20, no one is buying anymore; everyone is still trapped. Extreme panic, to put it nicely, is basically a complete lack of popularity. Should I sell or keep lying low?

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GasGuzzler

· 8h ago

The number 20 really can't hold anymore; I want to buy the dip but I'm afraid it'll break my mind.

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GovernancePretender