Bitcoin News Today: "Whale Bets Signal Crypto's 'Extreme Fear' May Herald Turnaround"

Despite a broader market downturn, crypto whales are aggressively accumulating Bitcoin and Ethereum, signaling confidence in a potential recovery. On-chain data from Hyperliquid, analyzed by Lookonchain, reveals several high-profile traders opening leveraged long positions totaling tens of millions of dollars. Trader 0x9553 initiated a 40x long on 179.59 BTC (~$19.94 million), while wallet 0x6988 deposited $1.95 million in USDC to open a 25x long on 4,743 ETH (~$18.71 million), according to a Coinpedia report. These moves underscore a belief that the recent FOMC-driven selloff may be temporary rather than a structural bearish shift.

The broader market sentiment, however, remains in "Extreme Fear" territory. The Crypto Fear & Greed Index, a composite of volatility, trading volume, social media hype, and other metrics, plummeted to 21 on November 4, its lowest level since the index's launch, according to Lookonchain. This follows a sharp decline from 42 on November 3 and 51 on October 30, reflecting growing panic among retail and institutional investors, as shown in a Lookonchain feed and another Lookonchain feed. Alternative Data explains the index is weighted 25% by volatility and trading volume, 15% by social media and surveys, and 10% by Bitcoin dominance and Google Trends, as a BitcoinWorld analysis explains. The current reading suggests liquidity tightening and heightened capitulation risks, prompting traders to adopt stricter risk management protocols.

Technically, Bitcoin faces a critical juncture near $108,000 support. Coinpedia's analysis notes that a break below $107,200–$106,600 could accelerate the decline toward $104,000, while a rebound above $110,500 might retest $114,000 resistance by mid-November. Whale accumulation and leveraged long positions are seen as potential stabilizers, but the outcome hinges on macroeconomic clarity and FOMC policy easing.

The contrast between whale optimism and widespread fear highlights a classic market dynamic. While retail investors retreat, institutional actors are positioning for a rebound, betting on the cyclical nature of crypto markets. "Persistent fear often precedes buying opportunities for long-term holders," said one analyst, though caution remains warranted given the index's proximity to "Extreme Fear" levels, as noted in the BitcoinWorld analysis.