Bitcoin Market Volatility Hits Rare Levels, Signals Potential Bottom

The cryptocurrency market experienced a sharp decline on Sunday evening, with Bitcoin's price falling by nearly 5% within two hours. This sudden drop triggered over $500 million in liquidations across the crypto markets within 24 hours.

According to data shared by Milk Road, the price of Bitcoin slid from $67,676 to $64,344 between 7 and 9 p.m. ET on Sunday evening. The move was attributed to thin weekend liquidity and renewed tariff headlines.

The Fear & Greed Index, which measures market sentiment, dropped to a rare reading of 5. Historically, such low readings have aligned with major Bitcoin market bottoms. Similar conditions appeared during previous crash cycles, suggesting that the current market situation may be approaching capitulation.