Bitcoin BTC$90,949.09 sentiment has plunged to levels that historically precede short-term market bottoms, signaling that a tactical low may be forming, according to analysis from 10x Research.
The firm reports that its proprietary Greed & Fear Index—a gauge of market psychology—has collapsed to a record low under 5 points. Sentiment scores below 10% represent severe fear, while readings above 90% indicate excessive optimism.
Notably, the index’s 21-day simple moving average has also fallen to 10%, a zone that has reliably aligned with interim market lows across multiple cycles.
“The 10x Greed & Fear Index is sitting near its lowest possible level, and the slower-moving average has now declined into the 10% range—a zone that has repeatedly marked tactical lows,” said Markus Thielen, founder of 10x Research, in comments to CoinDesk.
Thielen cautioned, however, that extreme fear does not automatically signal that selling pressure has fully exhausted. Prices may still drift lower, though historically the intensity of the decline tends to diminish once sentiment hits these extreme readings.
“In March, the sentiment index bottomed out before bitcoin continued its slide into April,” he noted. “But we still saw a 10% rebound immediately after that initial sentiment trough. With sentiment now back at rock-bottom, a similar short-lived bounce is possible.”
At the time of writing, bitcoin was trading near $84,800, recovering from Friday’s low of $80,880, according to CoinDesk data. Even with the rebound, BTC remains down 10% over the past week and 23% for the month.
