Extreme Fear grips crypto markets as macro headwinds from AI-driven capital rotation, hawkish Fed signals, and geopolitical tensions converge. Bitcoin risks back-to-back quarterly losses, while capital flows remain neutral, suggesting institutional pause ahead of key data.
Goldman Sachs' rotation from semis to cloud, Spain's MiCA hard deadline, and Polymarket's revenue surge frame a macro environment of extreme fear (Greed Index 13) with neutral stablecoin flows. Institutional capital is repositioning toward defensives and regulatory-compliant infrastructure.
BTC plunges 15% as Strategy's token sale triggers cascading liquidations; capital rotates into AI and IPO narratives, with stablecoin flows neutral amid extreme fear.
