Altcoin Market Holds Key Support as Sentiment Shifts to Neutral
The crypto market shows tentative signs of stabilization as the Fear and Greed Index climbs to 40—neutral territory for the first time since October 2025. This marks a dramatic reversal from November's extreme fear reading of 10, when Bitcoin had cratered 35% from its $125,000 all-time high to $80,000.
Altcoins bore the brunt of the sell-off, yet the total market cap (Total3) defends critical support at $784 billion—a far cry from October's $1.2 trillion peak. Analysts point to ETF flows and market saturation among the 29 million listed tokens as factors delaying altseason.
Bitcoin's resilience stands out, holding above $91,000 despite geopolitical tensions. 'Markets are pricing in structural demand,' says one trader, noting derivatives activity on Binance and Coinbase suggests institutional accumulation.
