Bitcoin BTC/USD is holding near $110,000, rebounding sharply after widespread calls for a drop below $100,000.
What Happened: Data from Santiment shows retail fear spiked to its highest since the last crash as Bitcoin dipped to $107,000, triggering a wave of bearish sentiment across social media.
Yet, as fear and doubt peaked, Bitcoin staged a relief rally, mirroring earlier patterns.
On Oct. 17, similar bearish calls preceded a 12% rebound over the next 10 days.
Now, after another round of sub-$100,000 predictions on Oct. 30, BTC climbed right back to $110,000 by Oct. 31.
Sentiment advises to be a contrarian and buy when the crowd is fearful, sell when the crowd is greedy.
Also Read: Trader Shorts $1 Million In Ethereum: ‘The Rally May Never Materialize, It’s a Bear Market’
Why It Matters: Historically, Bitcoin thrives when the crowd turns fearful.
Glassnode data shows BTC is retesting the 0.85 cost-basis band (~$109,000), a level that has marked major reversals in past cycles.
Losing it risks a move toward $98,000 but holding it could spark the next leg higher.
Analyst Chris Beamish noted that every dip of the Fear & Greed Index below 30 this cycle has aligned with a local bottom, an indicator now flashing again.
With sentiment washed out and traders capitulating, the setup may favour contrarians once more.
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