- The crypto market surprised many users by flipping into extreme fear.
- Most critical indicators reflected the crypto market’s bearish pressure.
- Bitcoin resisted the drop below $90,000.
The crypto market surprised many by flipping into extreme fear conditions, even though most crypto community members wait for an altcoin season.
A sudden price crash across almost all the top cryptocurrencies confused many users, leaving them unsure whether to hold on for a potential upside reversal or to sell their digital assets and avoid further losses.
“Extreme Fear” Index Signals Market Downturn
Data from CoinmarketCap reveal that almost all the critical indicators are bearish after Monday’s crypto market crash, which saw the total crypto market cap drop to $2.97 trillion as of writing.
The crypto market’s Fear and Greed Index slipped into an extreme fear figure of 29, generating varying opinions from analysts.
Related: Altcoin Crash Deepens, But Analyst Says Crypto Market Set to Rebound Soon
Altcoin Season “Extremely Low” – ETF Outflows Spike
The altcoin season index remained extremely low, with a value of 23, while the CoinmarketCap 100 Index dropped to $182.7, reflecting a 5.65% decline in the past 30 days.
Another bearish indicator is the significant drop in crypto ETFs’ net flow, which tumbled sharply with a $387.6 million outflow on Monday, February 24.
Bitcoin Holds $90K Support Despite Losses
Bitcoin lost 5.3% of its value on Monday, reflecting the highest single-day loss for the cryptocurrency since the first week of January.
Related: Crypto Market Check: Experts on Bitcoin’s Next Move
However, the flagship crypto displayed resilience, staying above the crucial $90,000 support. Analysts expect that level to hold for Bitcoin’s bullish sentiment to remain intact. A break below $90,000 could trigger a further crypto market decline, considering the prevailing FUD.
Some Investors See “Extreme Fear” as Buying Opportunity
Despite the massive losses, a section of the crypto market believes there is every reason to stay bullish. More so, they consider the extreme fear market condition an opportunity to accumulate more crypto assets following their belief that the bull run will continue.
Besides Bitcoin, the top altcoins declined massively on Monday, with Ethereum tumbling to $2,473 in a 9.5% pullback, BNB losing 6% of its value, and Solana crashing by 14%.
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