Fear And Greed Index Plunges to Lowest Since January 2023 As JPMorgan Predicts Crypto Market Recovery in August

The
Crypto
Fear
and
Greed
Index
plunged
to
its
lowest
level
since
January
2023,
but
JPMorgan
sees
light
at
the
end
of
the
tunnel,
predicting
a
crypto
market
rebound
next
month

The
index,
which
tracks
market
sentiment
towards
Bitcoin
(BTC)
and
other
cryptos,
has


plummeted

to
25
as
of
2:45
a.m.
EST
to
indicate
“extreme
fear”
among
investors.
This
comes
after
the
flagship
crypto
failed
to
break
above
the
psychological
$60K
resistance
level
for
the
second
time
in
the
past
48
hours.

Fear
And
Greed
Index
Could
Be
Accompanied
By
A
Bearish
Chart
Pattern
Soon

Crypto
and
forex
trader
Justin
Bennet
shared
with
his
11,000
followers
that
the
$60K
mark
rejected
Bitcoin
“yet
again”
in
a
July
11
post
on
X.
He
added
that
a
“rising
wedge”
could
start
to
form
as
a
result,
which
might
foreshadow
further
downside
in
the
next
few
days.

$BTC
rejected
from
$60k
yet
again.

And
now
we
have
a
potential
rising
wedge
forming,
which
could
point
to
further
downside.

We’ll
see
if
we
get
a
full
retest
of
channel
resistance,
but
this
4h
pattern
is
one
to
watch.#Bitcoin

pic.twitter.com/hyjOW2t7UP

—
Justin
Bennett
(@JustinBennettFX)

July
11,
2024

The
main
contributor
to
the
negative
sentiment
in
the
market
is
news
that
the
defunct
crypto
exchange
Mt.
Gox
started
repaying
its
creditors
from
July
5.
Investors
and
traders
fear
the
potential
ramifications
of
up
to
$8.5
billion
worth
of
BTC
being
sold
into
the
market
via
these
repayments.

There
has
also
been
selling
pressure
from
wallets
linked
to
the


German
Government.
Approximately
$935
million
worth
of
BTC,
or
16,254
Bitcoins,
has
been
sent
from
these
wallets
to
market
makers
and
exchanges
throughout
the
past
24
hours,
according
to
on-chain
data
from


Arkham
Intelligence.

JPMorgan
Analysts
Anticipate
A
Market
Rebound

Despite
the
negative
sentiment,
Wall
Street
firm
JPMorgan
said
in
a
July
10
research
note
that
the
crypto
market
could
rebound
soon.

That’s
because
it
sees
downward
pressure
on
the
market
easing
by
the
end
of
this
month.
Selling
pressure
caused
by
creditors
selling
assets
refunded
by
the
defunct
Mt.
Gox
crypto
exchange
and
Gemini,
as
well
as
sales
of
seized
crypto
assets
by
the
German
government,
will
wane
by
the
end
of
this
month,
it
said.

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