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Panic often signals the beginning of a rebound
@TechFlowPost posted a question: "When the Fear & Greed Index is sufficiently fearful, how will $BTC perform afterward?"
Along with a chart showing the extreme market conditions that followed when the index dropped below 15 since the Fear & Greed Index was released.
Among these, the 17-18 crash, COVID-19 pandemic, and FTX collapse all caused the index to fall below 15, but each time, the gains a year later exceeded 100%.
The panic caused by the COVID-19 pandemic drove the index below 10, indicating extreme fear, but after the extreme market conditions recovered, the rebound reached an astonishing 1500%.
After the October 11 liquidation event, the Fear & Greed Index hit its lowest point on February 6, dropping to 5, the lowest in the history since the index was released!
The last time was on June 19, 2022, when the index fell to 6, which was right at the final crash of the bear market. It then entered a prolonged sideways trend, and a year later, a bull market began.
There's no need to be overly pessimistic; opportunities always come from dips.
$ETH $BTC