Bitcoin dropped sharply by double-digit percentages, briefly nearing the $60,000 level. At the same time, the Crypto Fear & Greed Index fell to just 9 out of 100 on Friday, signaling “extreme fear” and marking its lowest reading since June 2022, when market sentiment deteriorated following the Terra blockchain collapse the month before.

The index has remained depressed over the past two weeks as Bitcoin declined 38% from its 2026 peak of $97,000 within only three weeks, erasing gains accumulated over the previous sixteen months.

Bitcoin hits multi-month lows amid heavy liquidations

Bitcoin slid to its weakest level since October 2024, briefly trading slightly above $60,000 on Coinbase during early Friday trading, according to TradingView. The asset later recovered modestly to just above $64,000 after falling 13% in 24 hours, marking its largest single-day loss since mid-2022 and shedding more than $10,000 in value.

The decline pushed Bitcoin below its 200-week exponential moving average, a long-term trend gauge that has historically only been breached during deep bear-market phases. The asset now sits roughly 50% below its all-time high of $126,000 reached in early October.

In the same 24-hour period, more than 588,000 traders were liquidated, totaling $2.7 billion, with 85% of liquidations coming from leveraged long positions largely concentrated in Bitcoin, according to CoinGlass.

Macro pressures and risk aversion weigh on crypto

Jeff Ko, chief analyst at CoinEx Research, said Bitcoin’s weekly decline of over 20% coincided with a broader selloff in US technology equities, “where stretched valuations and lingering concerns around an artificial intelligence-driven bubble have long been highlighted by the market.”

“Even Amazon suffered a double-digit decline overnight following a mixed earnings release,” he added. “Investors are increasingly reassessing Bitcoin’s failure to function as a safe haven compared to gold.”

LVRG Research director Nick Ruck noted that Bitcoin’s drop and the wider market weakness reflect “heightened risk aversion” driven by “softer US job market signals, including rising unemployment claims that raise doubts about sustained economic strength and potential Fed caution on aggressive rate cuts.”

Sources:

https://cointelegraph.com/news/crypto-sentiment-at-lowest-point-since-luna-crash-as-btc-tanks-to-60k

https://www.tradingview.com/symbols/BTCUSD/?exchange=COINBASE

https://alternative.me/crypto/fear-and-greed-index/

https://www.coinglass.com/liquidations