According to data from Glassnode, the Bitcoin fear and greed index yesterday fell to a low of 27, the lowest level since January 2023.
This happened just two months after the FTX collapse. During that time, the Bitcoin price hovered around $16,500.
The current panic in the market is fueled in part by actions such as the German government's sale of significant amounts of Bitcoin.
In addition, crypto exchange Mt. Gox has begun repaying its creditors, causing the price of the cryptocurrency to fall from $63,000 at the end of June to lows of around $53,570 on July 5.
According to Arkham Intelligence data, the German government still holds approximately 22,800 BTC after selling $276 million worth of Bitcoin in its last sale.