The Crypto Fear and Greed Index turns "Neutral," the first time since October last year

The Crypto Fear and Greed Index rose to 40 on Sunday, shifting to a "neutral" state for the first time since October 2025, indicating an improvement in investor sentiment. The index had previously hit an extreme fear low of 10 in November last year. The sharp decline in investor sentiment was triggered by the historic market crash in October, where BTC fell from its all-time high of $125,000 to $80,000, a drop of 35%; altcoin market capitalization plummeted by 33% in a single day.

Although sentiment has recovered from the extreme fear at the end of 2025, geopolitical tensions and insufficient retail interest may pose resistance in 2026.