Crypto market sentiment took a major fall on Tuesday after Bitcoin briefly fell below $106,000 for the first time in over three weeks. The Crypto Fear & Greed Index on Tuesday dropped by half from the day before to a score of 21 out of 100, indicating “Extreme Fear” in the crypto market. Bitcoin (BTC) fell to a 24-hour low of $105,540 on Monday, sliding from an intraday peak of over $109,000. It’s currently down 2% on the day, recovering above $106,500, per CoinGecko. The crypto sentiment tracking index’s score on Tuesday is its lowest in nearly seven months, having dropped to 18 out of 100 on April 9, as the wider stock and crypto markets fell in reaction to US President Donald Trump’s sweeping global tariffs that went into action that day. The Crypto Fear & Greed Index dropped from 42 to 21 points in a single day on Tuesday. Source: Alternative.me “Extreme Fear” seen when Bitcoin slides The Crypto Fear & Greed Index last fell to the level of “Extreme Fear” on Oct. 22, hitting a score of 25 out of 100 after Bitcoin slid from over $110,000 to below $108,000. The index has swung between “Extreme Fear” and “Neutral,” after the market crash over Oct. 9-10, when Bitcoin rapidly cooled from its Oct. 6 peak of over $126,000. The index was last above a score of “Neutral” before the early-October crash, hitting a high over the past month of 74, indicating “Greed,” on Oct. 5. Analysts have attributed Bitcoin’s current dip to reduced institutional demand and blockchain activity, as well as concerns over an increasingly hawkish Federal Reserve. The Fed cut interest rates for the second time this year on Wednesday, but signaledyear on Wednesday but signalednal cuts in 2025, which caused crypto markets to drop as investors had hoped for further rate reductions. Last week, Bitcoin-tied exchange-traded funds saw net outflows of nearly $800 million, with institutional buying dipping below the daily mined supply for the first time in seven months. Crypto bulls are hoping for a so-called “Moonvenber,” as Bitcoin has historically gained an average of over 42% in November, typically its largest month for growth.