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Crypto news: BTC crashes to $42K with fear and greed index spike

By Daniela Ešnerová


Market bulls and bears - representation of market sentiment.
Levels of ‘extreme fear’ among cryptocurrency market participants is at levels unseen since last July – Photo: Shutterstock

Cryptocurrency market sunk a whopping 9.27% over the last 24 hours of trading. The downturn was first sparked by US Federal Reserve's meeting minutes which showed that the bank is considering reducing its $8.3trn (£6.12trn) balance sheet.

The fear and greed index, which tracks sentiment among cryptocurrency market participants, pinned the current mood to 15. (1 shows extreme fear and 100 extreme greed). Extreme fear among market participants is at its highest since 21 July 2020. The index takes into consideration volaitily, market volume, social media, dominance and trends.

Bitcoin tanked to $42,000 - $43,000 levels London mid-morning - and it was trading some 32% below its all-time high recorded last November.


0.63 Price
+6.500% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.01168


0.12 Price
-2.010% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.0012872


3,426.09 Price
-0.540% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 21:00 (UTC)
Spread 6.00


64,735.25 Price
-0.070% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 21:00 (UTC)
Spread 106.00

Current downturn also means that there is £1trn less in the whole market value since all-time high. The total market caputalisation is currently $2.03trn, according to website.

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Other crypto news: 

  • Non-fungible token platform OpenSea raised $300m (£221.23m) in a Series C funding round as the platform seeks to become a core destination for the technology.
  • Nasdaq-listed a blockchain technology-focused company, BTCS Inc, said it will pay out dividends in bitcoin as a first company quoted on the stock exchange. 

Round-up of coins by market capitalisation

As of 10:30 GMT:

Read more: Crypto markets tumble as Fed considers paring balance sheet

Markets in this article

Binance Coin / USD
579.18 USD
-2.66 -0.460%
Bitcoin / USD
64735.25 USD
-42.35 -0.070%
Ethereum / USD
3426.09 USD
-18.51 -0.540%

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The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.
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