Extreme Fear Dominates Crypto with BTC, ETH Impacted

Key Points:
  • Main event: Crypto Fear & Greed Index shows extreme fear.
  • BTC trading near $87,500 without breakout signs.
  • ETH resistance challenges at $3,150–$3,173.

The Crypto Fear & Greed Index reflects extreme fear with scores of 20-23, indicating market anxiety for BTC and ETH due to volatility and ETF outflows as of December 26, 2025.

Persistent fear could lead to potential recovery signs as historical patterns suggest. BTC and ETH volatility impact broader market sentiment, affecting both core assets and altcoin dynamics.

The Crypto Fear & Greed Index signals extreme fear for BTC and ETH, reflected by a score of 20-23 on December 25-26, 2025. This metric denotes significant market anxiety driven by heightened volatility and low trading volumes.

During this period, BTC holds near $87,500, showing no significant price breakout. Meanwhile, ETH faces supply exhaustion but meets resistance levels between $3,150 and $3,173, as noted by exchange reports.

The current extreme fear environment significantly impacts BTC and ETH, stirring anxiety across crypto markets. Declining ETF volumes underscore investor concerns about these major cryptocurrencies’ short-term stability and growth prospects in volatile conditions.

Interestingly, on-chain data reveals that ETH long-term holders have significantly reduced sales, pointing to a 95% decrease from late November. This suggests potential supply exhaustion despite the prevalent market fear climate.

“Market sentiment clearly shows caution and anxiety among investors, reflecting the impact of external volatility and its possible consequences on digital currencies,” as an observer noted regarding sentiments in such conditions.

The extreme fear readings from the Crypto Fear & Greed Index, lasting for 13 consecutive days, could impact altcoin performance as well. BTC dominance shifts may spill over, affecting broader crypto market dynamics during this fear phase.

Historically, periods of extreme fear like these have sometimes preceded market recoveries, indicating oversold conditions. Future developments could signal price stabilizations, aided by previous patterns of rebounds following sustained fear-driven sell-offs.

Samay Kapoor

Samay Kapoor is a seasoned crypto journalist with over 10 years of experience in finance, blockchain, and digital innovation. For Samay, crypto is more than markets; it is a story about how technology changes people’s lives. Covering blockchain breakthroughs, NFT culture, and metaverse frontiers, she writes to spark curiosity and build understanding. At TokenTopNews, her articles blend sharp reporting with narrative storytelling, helping readers move beyond headlines to see the full picture of Web3’s evolution.