📉 BTC at 60k: Extreme Panic or Golden Opportunity?
February 6th will be marked on the crypto calendar. We witnessed a brutal drop that dragged Bitcoin down to the $60,000 range, breaking panic records and pushing the Fear and Greed Index to a historic level of 5 (Extreme Fear). 🚨
Many investors, driven by panic, sold their positions seeing how not only $BTC fell, but all anchored altcoins suffered massive retracements.
What does an index of 5 mean?:
It’s that moment when the market feels empty, pessimism is absolute, and social media is filled with messages of "cryptos have died".
🩹 The slow recovery: From 5 to 12
As of today, the market has started to breathe a little. We have moved from that agonizing 5 to a 12 on the index. Although we are still in "Extreme Fear" territory, that small rise indicates that buyers are slowly coming back in, looking for support at the current prices.
💡 Lesson for "Holders"
Historically, extreme fear levels have been the best entry points for those with a long-term vision. Many took the opportunity to buy cryptos at low prices and hold them for profits. As of today, those who saw an opportunity are the biggest winners in the market, just like those who went short on many entries.
The drop to 60k was a reminder that volatility is queen in this game. Now the question is: Since BTC has not consolidated well above $70,000, are we facing a bounce to keep falling or is it the start of consolidation to seek new highs?
And you, what did you do on those days of decline? Did you buy the fear or sell out of fright? 👇
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