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Fear Index Peak

Definition

A Fear Index Peak indicates a point of extreme market anxiety or pessimism among investors. This peak is typically observed when a market sentiment indicator, such as the Crypto Fear & Greed Index, reaches its highest level of “fear” or lowest level of “greed.” It often corresponds with sharp price declines and widespread negative sentiment, suggesting that investors are making decisions driven by panic rather than rational analysis. Historically, periods of extreme fear can sometimes precede market reversals, as assets become oversold.