Bitcoin Price Fear & Greed Index Turns Blood Red Under 8K

Bitcoin price dropped out of the descending triangle, causing a level of extreme fear to spread throughout the entire crypto market.

Bitcoin price remains bearish since the top at $13,800, as the price has been trending downwards in a channel.

Is the price of Bitcoin bearish overall or only short term?

The Crypto Fear & Greed Index currently shows that there is extreme fear in the market.

Bitcoin broke down from the descending triangle and could not hold the 21-Week Exponential Moving Average, causing the price to drop back down towards the next support zone around $8,000.

As Bitcoin dropped below the support of $9,300-9,400, a significant chain reaction caused the price to rapidly drop immediately towards $8,000.

Bitcoin then fell through the soft support at $8,800 as the high amount of sell volume pressed the price to $8,500.

Essentially, if the market is able to break upwards with a weak volume bounce, the price could still make another significant drop which could be interpreted as a bearish retest of $8,800.

Arguments can be made that the RSI indicator combined with the crypto Fear & Greed Index shows that the market is overwhelmed with fear and ready to press the sell button.

Notably, 75% of the time Bitcoin price drops before the futures expiry date and this expiration date is Friday, Sept. 26.