Bitcoin has fallen by more than $3,000 in two hours, and the crypto fear and greed index has fallen to historic lows once again.
The Crypto Fear and Greed Index fell to its lowest level on Monday as Bitcoin plummeted more than 4% to $64,300, erasing gains from Friday.
According to Coinglass, more than 136,000 traders were liquidated in the past 24 hours, totaling $458 million in liquidations, 92% of which were long leveraged positions.
Bitcoin rose some over the weekend, hitting $68,600 on Saturday, but is currently sitting at the support of the bottom of the intrarange channel that formed after the collapse to $60,000 on February 6th.
Bitcoin is currently 48% below its October all-time high of $126,000 and 5.5% below its 2021 bull market peak of $69,000.
Fear and greed index at historic lows
Alternative.me’s Crypto Fear and Greed index, which measures overall market sentiment, has fallen to 5 out of 100, indicating “extreme fear.”
Since the index was launched in 2018, prices have only been this low three times: in August 2019, June 2022 and earlier this month.
Related: Crypto Market Sentiment Hits with Extreme Fear as Matrixports Show Possible Bottom
On-chain analytics provider Glassnode reported on Monday that investors are still succumbing, with the seven-day moving average of recent investor net realized losses still nearing $500 million per day.
“Although the intensity has subsided, the broader regime still indicates the market is under pressure, and foundation stage participants continue to capitulate.”
Bitcoin Sharpe Ratio hits historic low
Meanwhile, analyst Michael van de Poppe posted what he called a “phenomenal chart” on Saturday that shows Bitcoin’s Sharpe Ratio has fallen to -38.4, which has “historically indicated a ‘low risk’ accumulation zone.”
This ratio measures Bitcoin’s performance relative to the risk taken and indicates the return investors can expect per unit of risk.
magazine: Bitcoin could take 7 years to upgrade post-quantum: BIP-360 co-author
