‘Extreme Fear’ Is Back but Bitcoin’s Price Recovery Depends on it: Santiment
Bitcoin dipped to a four-week low on Friday at $65,500 after it was rejected at $72,000 a couple of days earlier, which pushed the general market sentiment again to ‘excessive worry’ territory.
However, the analysts from Santiment imagine this could possibly be the exact push BTC must stage a notable restoration.
Fear Dominates
CryptoPotato has repeatedly reported over the previous few months that the Bitcoin Fear and Greed Index has been predominantly in an ‘excessive worry’ state, which was fairly anticipated because the asset plunged by over 50% in months from its October ATH to the early February backside.
However, there was some reduction on the matter within the final 10 days or so, when BTC tapped $76,000 on March 18 and $72,000 per week later. Nevertheless, the following rejection drove it south as soon as once more, dropping to $65,500 on Friday for the primary time because the starting of the month.
This meant that BTC, which was as soon as the top-performing non-oil asset after the battle towards Iran started, had erased nearly all good points charted inside that interval. The Index adopted swimsuit, because it dropped again all the way down to ‘excessive ranges,’ at the moment displaying 9.
According to Santiment, this might truly be a blessing in disguise. The analytics firm has doubled down on its perception that BTC tends to maneuver in the wrong way of what the gang expects from it, which may drive the subsequent leg up.
With Bitcoin dropping as little as $65.6K for the primary time since March 1st, sentiment has dipped into ‘excessive worry’ territory amongst retail merchants. Historically, crowd FUD is a wanted ingredient for a reduction rally as a result of markets transfer reverse to the gang’s expectations.
— Santiment (@santimentfeed) March 27, 2026
… Record Chasing?
With just some days left in March, bitcoin is near equaling a painful file. Data from CoinGlass reveals that its longest damaging streak of consecutive months closed within the purple stands at six, marked between August 2018 and January 2019. If BTC ends March beneath roughly $67,000, the place it’s at the moment positioned, it is going to tie that file, because it has been deep in damaging territory since October.
History reveals that BTC went on a notable run after the earlier such event in 2018/2019. In reality, it had 5 consecutive months within the inexperienced, with 4 of them charting double-digit good points. May 2019 stands out as its best-performing month since then, with an enormous 52% surge.
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