Bitcoin price crashed to 7700$ in morning trading hours, CME Gap was also filled after this drop. The reason of this violent drop could be coronavirus pandemic situation, effect of coronavirus can be seen in the Global stock markets as well.

With this Bitcoin price drop to 7700$, Bitcoin’s fear and greed index has also dropped to 17 from 39. Currently Fear and greed index is suggesting extreme fear sentiment.

7700$ level is also a neckline support of falling wedge from which bitcoin price broke out in janurary.

Bitcoin Fear and Greed Index

This is the 4th time in last six months, when the Fear and greed index dropped below 20.

Last time, On 18th December, Fear and greed index dropped below 20, and reached 15. Bitcoin price also recorded cycle low at 6500$, and price quickly bounced from 6500$ and reached 7500$ by recording daily gain of around 16%.

We can expect a strong bounce from 7700$ support, and there is CME Gap at 9250$ from last week.

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