Analysis
Bitcoin
News

Bitcoin Sentiment Drops After Tariff News; Low Fear and Greed Reading Could Signal Contrarian Buying

Loading market data...
Bitcoin
Bitcoin

-

-

Volume (24h): -

(05:36 AM UTC)
6 min read

Contents

590 views
0 comments

  • Fear & Greed Index: 27 — market sentiment moved from Greed to Fear within 24 hours.

  • Bitcoin briefly fell to $102,000; intraday liquidations were about $19.27 billion, per market trackers.

  • Bitwise’s intraday Sentiment Index hit −2.8 standard deviations, a rare contrarian buying signal.

Crypto Fear & Greed Index drops to 27 as Bitcoin dips to $102K; evaluate risk and consider contrarian signals — read analysis and next steps from COINOTAG.

The last time the Crypto Fear & Greed Index dropped to this level of fear, Bitcoin’s price was trading around $80,000.

Crypto market sentiment plunged to its lowest point in nearly six months after US trade headlines. The Crypto Fear & Greed Index fell to a reading of 27, shifting the market classification from recent “Greed” readings into clear “Fear.”

Bitcoin (BTC) briefly dipped to $102,000 on major perpetual futures pairs following the tariff announcement, and market-wide liquidations reached approximately $19.27 billion in the prior 24 hours, according to market trackers.

Cryptocurrencies, Bitcoin Price
The Crypto Fear & Greed Index posted a “Greed” score of 71 when Bitcoin reached new highs on Monday. Source: Alternative.me

What is the Crypto Fear & Greed Index telling investors now?

The Crypto Fear & Greed Index reads 27, signaling market-wide fear and heightened risk aversion. Short-term indicators show elevated liquidations and volatility, while institutional sentiment metrics point to a contrarian buying setup for disciplined longer-term investors.

How did tariffs and headlines drive the recent sell-off?

The sell-off followed an announcement of sweeping trade tariffs, which triggered a rapid repricing of risk assets. Within 24 hours the index swung dramatically—from a “Greed” reading near 64 to 27—coinciding with a Bitcoin intraday low of $102,000 and roughly $19.27 billion in liquidations.

Why are institutional sentiment signals important now?

Bitwise research posted that its intraday crypto asset Sentiment Index reached −2.8 standard deviations, its lowest since a major unwind in summer 2024. This extreme reading is described by analysts as a “strong contrarian buying signal,” indicating institutional flows have moved into oversold territory.

Cryptocurrencies, Bitcoin Price
Bitwise’s intraday cryptoasset sentiment index is flashing a “strong contrarian buying signal.” Source: Andre Dragosch

Market observers note the last comparable low for the Fear & Greed Index was April 16, 2025, when Bitcoin tumbled to around $77,000 amid escalating trade uncertainty. Days earlier, tariff policy had briefly eased; the renewed escalation reversed sentiment rapidly.

Frequently Asked Questions

How much was liquidated during the drop?

Approximately $19.27 billion in long and short positions were liquidated across the crypto market over 24 hours, reflecting forced deleveraging and amplified price moves.

Is low social-media euphoria a bearish sign?

Not necessarily. Analysts at Santiment observed muted social-media excitement despite fresh highs; low euphoria can signal limited retail speculation, which may moderate crash risk but also slow immediate momentum.

Key Takeaways

  • Sentiment shift: The Crypto Fear & Greed Index fell to 27, indicating market fear.
  • Market impact: Bitcoin dipped to $102K and ~ $19.27B in liquidations occurred within 24 hours.
  • Actionable insight: Institutional sentiment gauges show deep negative deviation, which historically suggests a contrarian buying opportunity for phased, risk-managed entries.

Conclusion

Sharp tariff-driven headlines pushed the crypto market from Greed into Fear, creating volatile conditions and mass liquidations. The Crypto Fear & Greed Index at 27, combined with institutional sentiment extremes, signals a potential contrarian setup. Monitor liquidity, set strict risk controls, and consider phased strategies; COINOTAG will continue to track developments.






Jocelyn Blake

Jocelyn Blake

Jocelyn Blake is a 29-year-old writer with a particular interest in NFTs (Non-Fungible Tokens). With a love for exploring the latest trends in the cryptocurrency space, Jocelyn provides valuable insights on the world of NFTs.
View all posts

Comments

Yorumlar

HomeFlashMarketProfile
    Bitcoin Sentiment Drops After Tariff News; Low Fear and Greed Reading Could Signal Contrarian Buying - COINOTAG