The Crypto Fear & Greed Index, published by Alternative.me, has fallen to 5 out of 100 — signaling “extreme fear.”

Since launching in 2018, the index has only reached this level three previous times: August 2019, June 2022, and earlier this month. Such readings historically coincide with intense market stress and widespread capitulation.

On-chain analytics firm Glassnode reported that the seven-day moving average of net realized losses for recent investors remains near $500 million per day. While the pace of losses has cooled slightly, analysts say the broader environment still reflects a base-building phase marked by capitulation.