After 18 Days of Anxiety, The Crypto Market Sends a First Reassuring Signal

After 18 days in the extreme fear zone, the crypto market shows a first sign of relief. The Crypto Fear & Greed Index rises slightly, finally leaving its lowest level. This rebound occurs while November, traditionally favorable to Bitcoin, ends in uncertainty.

The Fear & Greed Index leaves extreme fear: a flutter after 18 days of tension

On November 23, the Crypto Fear & Greed Index left the extreme fear zone for the first time in 18 consecutive days, reaching a score of 28.

This move into the fear zone marks a modest but significant turning point in the market mood, which had been heavily marked by persistent panic since November 10.

Over these eighteen days, several recognized voices in the crypto community expressed their concern about the intensity of the prevailing pessimism:

• On November 15, analyst Matthew Hyland noted that the index was at “its most marked extreme fear level of the entire cycle”;

• On November 23, Crypto Seth claimed that “extreme fear is an understatement”, reflecting the market’s psychological downturn;

• Trader Nicola Duke reminded that extreme fear phases have often coincided with Bitcoin corrections, suggesting a possible bottom has been reached.

These observations are based on a historical reading of previous extreme fear phases, which have often correlated with bullish market reversals. Nevertheless, in the current context marked by persistent macroeconomic uncertainties, this exit from extreme fear could equally reflect a simple respite rather than a genuine reversal signal.

Signals still hesitant despite an apparent improvement

On November 27, the analysis platform Santiment observed a generally bullish trend on social networks regarding Bitcoin, justified by a rise in price up to nearly 92,000 dollars.

This momentum, mainly fueled by online discussions, reflects more an emotional reaction to price fluctuations than a fundamental change in market perception.

However, the reality of flows and capital allocation in the crypto ecosystem does not yet confirm this resurgence of confidence. Indeed, the market is clearly still in “Bitcoin Season”, with a score of 22 out of 100, indicating a clear preference for BTC and a persistent disinterest in altcoins.

This concentration of capital reveals a defensive stance among investors, typical of market phases dominated by uncertainty. On this subject, André Dragosch, research director at Bitwise Europe, warned about a misreading of the macroeconomic context, notably pointing to fears related to an imminent recession. “The last time I saw such an imbalance between risk and reward was during COVID”, he declared.

The return to a less alarmist sentiment does not dispel uncertainties. If the climate eases, the market remains volatile. The Bitcoin price remains the key indicator: its ability to hold, or even rebound, will tell if this calm marks a true turning point or just a pause in tension.