- Bitcoin drops to $78K, down 19% in a week as selling pressure intensifies.
- Crypto Fear & Greed Index falls to 10, signaling extreme fear and potential opportunity.
- Key support at $74.8K could determine Bitcoin’s next move, with a rebound or further decline ahead.
Bitcoin (BTC) has taken a severe hit, dropping to a recent low of $78,000 amid intense selling pressure. Over the past week, BTC has lost nearly 19%, reinforcing a strong bearish trajectory. As uncertainty grips the market, traders are closely watching key support levels for signs of a potential recovery.
At the time of writing, Bitcoin is trading at $79,820, reflecting a 7.68% drop in the past 24 hours. BTC’s 24-hour trading volume stands at $101.55 billion, while its market capitalization has fallen to $1.58 trillion. Despite minor attempts at stabilization, the leading cryptocurrency remains in bearish territory, increasing the risk of further declines.
Extreme Fear Signals Potential Opportunity
The Crypto Fear & Greed Index has plummeted to 10, indicating extreme fear among investors. The last time this level was seen was during the LUNA collapse, which triggered panic selling across the crypto market. However, what followed was an unexpected 500% rally, proving that extreme fear often precedes strong recoveries.
Historically, such deep negative sentiment has created major buying opportunities, as the market tends to reverse when fear reaches its peak. With BTC now trading near key support, some traders believe this could be a prime accumulation zone for long-term investors.
Bitcoin Eyes $74.8K Support for Potential Rebound
Renowned crypto analyst Captain Faibik has identified Bitcoin’s Weekly MA50 at $74,800 as a crucial support level. BTC previously tested this level in September 2024, bouncing back to fuel a significant uptrend.
If Bitcoin successfully holds above $74,800, history suggests a potential rebound that could drive BTC towards a new all-time high. However, a break below this level could extend the downtrend, pushing prices lower in the short term.
With Bitcoin hovering near critical support and market sentiment at extreme fear levels, the coming days will be crucial in determining the next major move. Will BTC stage a recovery and reclaim bullish momentum, or will bearish pressure lead to further losses?
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