Crypto Sentiment Shifts: Fear Takes Hold as Index Drops to 44

As of February 3, 2025, the Crypto Fear and Greed Index is at 44, which means fear in the cryptocurrency market. It has been on a major decline from a score of 60, indicating moderate greed. The main cause of this decline is the occurrence of a major selloff in the crypto market due to the recent announcements by U.S. President Donald Trump on the tariffs. Liquidation so far has exceeded $2.2 billion since then.

This score of 44 is the lowest in four months and reflects growing worries among investors. The overall market cap for cryptocurrencies decreased by nearly 12%, and Bitcoin alone fell by over 5% during this time. However, some analysts believe this drop may be temporary and that the overall trend could still be bullish.

It is from 0 to 100, where the lower numbers show fear, and the higher score shows greed. So, 44 means that people are fearful of investors, which will be more into selling as a consequence if it persists, but at the same time, the popular phrase "Buy the dip" became more in use because investors will buy those assets at any cheap price still.

In summary, the current reading of 44 shows careful sentiment among crypto investors due to market volatility. While there may be short-term selling pressure, many analysts believe this does not signal the start of a long-term decline.