The Crypto Fear and Greed Index has again dropped to ‘Extreme Fear’ as BTC continues to shed gains.
After struggling to remain above $20k for days, marked by intra-day dips, Bitcoin slumped below the crucial support. At the time of writing, Bitcoin was trading at $19.9k, down by 2% since yesterday. The dip comes in the wake of global stocks closing August at losses and the open interest rate for Bitcoin Futures remaining at its highest. A high open interest rate relative to the market cap increases the risk of market squeezes and liquidations. Bitcoin may continue to witness more losses in the coming days.
Ethereum was trading at $1,543, down by 3% at press time, while all other altcoins also registered losses since yesterday. The crypto market cap has also dropped to $971 billion.