- The current value of the index is 44 (fear)
- The index fell amid a lawsuit from the SEC against Binance and CZ personally
- The market is experiencing a huge volume of liquidations
- The major cryptocurrencies are falling
The Crypto Fear & Greed Index plunged to 44 units today, June 6. This is the first drop in the index into the fear zone since early March, when the USDC lost its peg to the dollar.
The current value of the index is as follows:
The index was at “neutral” (53 units) yesterday, June 5. Prior to that, “greed” prevailed in the market during almost all of May.
What caused the “sag” of the indicator? First of all, the suit of the SEC against Binance and personally its CEO CZ. In addition, the regulator designated several dozen tokens as securities in the document.
The Fear and Greed Index is the result of an aggregate set of indicators that reflect the current market sentiment as fully as possible. It takes into account not only the movement of the price curve, but also Google trends, trading volumes and even data from social networks.</nbsp;
With the SEC lawsuit, the major cryptocurrency pool and most altcoins “sagged” significantly. This also had an impact on the current value of the index.
In addition, cryptocurrency derivatives worth $280 million were liquidated in the last 24 hours.. Traders on long positions suffered most of all. And most of them were derivatives on BTC and ETH.