On Friday, the Crypto Fear & Greed Index entered the red zone. According to CoinMarketCap data, market sentiment is currently in “Extreme Fear.”
This comes as Bitcoin's price continues to fall below the psychological $70,000 mark, down 5% in the past 24 hours.
At this point, the BTC price is 45% below its all-time high of $128,198.
Crypto liquidations reached $1.31 billion, more than $1 billion of which came from long positions.
The general market sentiment is rather dim as the long-awaited recovery fails to arrive.
Institutional investors dump Bitcoin
Institutional demand has also crashed, with Bitcoin ETFs posting $1.44 billion in net outflows this past week. The outflows have been consistent for almost a month.
The resignation of Nvidia CEO Jensen Huang is yet another unfortunate event that has coincided with bearish market sentiment. This resulted in a flash crash across all financial markets.
The crypto treasuries are also having trouble lately. Recently, MSCI has published the results of its November 2026 Index Review, with Strategy and Metaplanet among the companies set to leave the MSCI USA Index. Dropping out of such an index could influence investment flows as well as stock prices.
As Bitcoin's price has dropped below $70,000 for the first time since August, bearish sentiment overwhelms social media.
However, a further decline is not necessarily inevitable. Bitcoin’s RSI is near 30, which is close to the oversold zone.
