๐Ÿ“‰ FEAR AT 16 โ€“ THE MARKET IS IN EXTREME FEAR

The market has entered a phase of extreme fear as the Fear & Greed Index drops to 16.

Looking back, during March and April, when this index also fell below 16, BTC formed short-term bottoms in the 7xโ€“8x zone before making a solid recovery.

In previous cycles, during deeper downtrends, the Fear Index even dropped to 10 and stayed low for an extended period.

This shows that extreme fear does not guarantee a bottom, but it clearly reflects the emotional state of the majority.

The more fearful the crowd becomes, the more likely they are to panic-sell โ€” making the market โ€œlighterโ€ and easier for bigger players to accumulate.

On the other hand, when the Greed Index climbs above 80, the market is typically entering a distribution phase, where tops are formed and smart money begins to exit.

The marketโ€™s timeless mechanism:

๐Ÿ‘‰ Market makers buy the crowdโ€™s fear and convert it into greed โ€” then sell it back at a higher price.