The Crypto Fear and Greed Index currently exhibits “extreme fear” with a reading of 11, and the condition has held for 12 consecutive days. Although there was a brief recovery between March 17 and March 18, the index has stayed in “extreme fear” since Jan. 28.

Traders use the index as a contrarian metric for monitoring investor sentiment as it is comprised of volatility, volume, social trend and market momentum data.

With that view in mind, in previous bull and bear markets, traders interpreted “extreme fear” readings as dip-buying opportunities, but given how bearish market conditions have been since January, it’s possible that the signal could be invalid.

On X, crypto commentator Rand Group pointed to a mismatch between…