- Crypto Fear and Greed Index fell to a score of 35 indicating pessimism.
- Matt Hougan stated that retail investors feel negative about the crypto market.
Bitwise’s CIO Matt Hougan gave a reality check between retail investors and professional investors. He mentioned that there is a big difference in the thinking of retail investors and professional investors about the crypto market.
According to Hougan, retail investors have felt negative about cryptocurrencies in recent times. Despite negative feelings among retail investors, experienced investors are optimistic about the crypto future.
Hougan said,
“There is an absolutely massive disconnect between retail and professional sentiment in crypto right now. Retail sentiment is the worst it’s been in years, while professional investors are extraordinarily bullish. It’s like living in two completely separate worlds.”
However, some analysts believe that feelings about cryptocurrencies may vary depending upon the preferred crypto tokens.
Cryptocurrency Market Gripped by Fear
Currently, the Crypto Fear and Greed index has dropped to 35 which is 34 points down from last month’s 69 greed score. The dropping index score indicates that the market is in fear.
According to analyst James Seyffart, the index is down because retail investors are holding a lot of meme coins and altcoins which are down massively. Over the last week, the top three memecoins by market cap fell more than 20%.
Most of the experts believe that this is an extended alt bloodbath which is very bad. Additionally, there are also negative sentiments regarding Ethereum.
Previously, the market witnessed a rally in November of Donald Trump’s presidential win which pushed Bitcoin to $100k level. However, after this because of Trump’s tariffs on Canada, Mexico, and China markets, BTC remains below $100K.
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