Crypto Market Panic Index: What Investors Should Know
Antara Bhattacharyya
Crypto Market Panic Index measures investor fear using volatility, momentum, and sentiment data, helping traders gauge extreme risk conditions globally.
Rising panic readings often signal oversold markets but also warn of liquidity stress, sudden selloffs, and emotional decision-making risks.
Low panic levels indicate confidence, complacency, or stability yet may precede volatility spikes when unexpected macro or regulatory shocks emerge.
Investors should combine panic index signals with onchain data fundamentals and macro trends before adjusting exposure or leverage strategies prudently.
During extreme panic, disciplined investors focus on risk management, position sizing, diversification, and long-term strategy over reactions driven by fear.