Weekend of Woe?

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What to know:

  • Bitcoin, bless its digital soul, took a little bounce Friday. The Crypto Fear & Greed Index, however, still whispers tales of the 2022 bear market 😭.
  • Weekends are like a bad hangover for crypto. Not a good time to be holding your breath 🤢.
  • Maybe, just maybe, the bad news is already baked in? A gambler’s hope, perhaps 🤔.

Bitcoin, that dear old digital gold, managed to climb back to around $84,000 after a dip down to the $78,000s. Still, it’s down over 15% from last week, a reminder that crypto is a roller coaster ride for the faint of heart.

The Crypto Fear & Greed Index, that fickle barometer of market sentiment, dipped to a dismal 10 overnight, a level last seen during the dark days of 2022. Now it’s at 16, still firmly in “extreme fear” territory. Remember the good old days when the index was in the “greed” range? Ah, the sweet, innocent days before Trump came to power…

Even with Friday’s bounce, bitcoin is still down over 1% from 24 hours ago. The broader CoinDesk 20 Index is down about 2%. Solana (SOL), however, is the lone wolf in the green, up 5% thanks to CME’s announcement of SOL futures. But SOL is still down 36% in the past month, a reminder that even the lucky dogs can have bad days.

Weekend Looms

All the traditional markets are closed on weekends. Even foreign exchange, that tireless workhorse, takes a break. But crypto? Crypto never sleeps. And traders might wish it would.

Geoff Kendrick from Standard Chartered pointed out that weekends haven’t been kind to bitcoin lately. Last weekend was a slight uptick, but before that, the trend was downward, often quite sharply. “Are risk assets really going to rally into [this] weekend now we have had the bad news,” Kendrick asked. His answer? Probably not.

But maybe they will! After all, Trump’s tariff threats have already sent markets tumbling. What’s the worst that can happen? He raises the tariffs to 50%? Maybe a deal will be struck, averting the worst. Maybe it’s the bears who are in the riskiest position right now. Who knows? Buckle up, my friend. It’s going to be a wild ride.

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2025-02-28 20:04