Crypto Market Fear and Greed Index Hits Record Low, Market Sentiment Remains Depressed

Odaily News According to data, the Crypto Fear & Greed Index dropped to 5 on February 12, setting a new historical low. This reflects a continued deterioration in crypto market sentiment over the past months. Despite ongoing institutional investment in the DeFi sector, overall risk appetite has significantly declined.

The index synthesizes metrics such as market volatility, momentum, social media activity, market dominance, and search trends to gauge market sentiment, with a range from 0 (Extreme Fear) to 100 (Extreme Greed). The current reading indicates the market has entered the extreme fear zone.

Analysis suggests the persistent weakness in sentiment is closely linked to the "10/10" event on October 10, 2025. On that day, the crypto market experienced its largest-ever liquidation event, with over $19 billion in leveraged positions forcibly closed within 24 hours, affecting more than 1.6 million accounts. Bitcoin fell approximately 14% that day, while altcoins saw even steeper declines, exposing structural risks of insufficient liquidity and high leverage in the derivatives market. Market confidence has yet to fully recover.