Bitcoin price steadied on Tuesday, Nov. 18, as investors bought the dip and waited for key events, including the FOMC minutes and Nvidia’s earnings report.
Bitcoin recovered to $93,700, slightly above this week’s low of $88,790. Even with the bounce, it remains down about 26% from its yearly high.
Fear and Greed Index sinks
The Crypto Fear and Greed Index has fallen to 15, placing the market in extreme fear. This is the lowest reading since April, according to data from CoinMarketCap.
The index tracks metrics such as price momentum, volatility, derivatives positioning, and Bitcoin’s market value relative to the broader crypto market.
The CNN Money Fear and Greed Index has also dropped to 12, another extreme fear level. All components of the index—volatility, safe-haven demand, junk-bond demand, stock strength, and options activity—are signaling high fear.
Historically, Bitcoin often begins new rallies during periods of extreme fear. In July last year, the index fell to 26, and Bitcoin climbed to $54,000, later reaching a new all-time high. A similar pattern occurred when the index dropped to 19 earlier this year before Bitcoin rallied again.
Technical signals show a possible bottom
Technical indicators suggest conditions for a rebound.
The Relative Strength Index (RSI) is at 30, showing oversold conditions.
The Percentage Price Oscillator (PPO) has fallen to its lowest reading this year.
Bitcoin has also returned to the double-bottom support near $92,000 and is forming a hammer candlestick, a pattern commonly seen near market bottoms.
If momentum builds, Bitcoin could move toward the $100,000 psychological resistance.
A break below $88,790 would invalidate the bullish setup.
