Bitcoin’s Big Cry: Fear Hits Rock Bottom!

by

Matrixport says extreme Bitcoin fear and oversold signals may point to a market inflection as sentiment hits four-year lows.

Crypto market sentiment has dropped to rare lows, and Matrixport says this shift may mark a turning point for Bitcoin. Imagine a toddler having a tantrum-except this time, the tantrum is in the form of a 40% price drop and a collective sigh of despair from investors.

The firm reports that fear readings have reached levels that often align with seller exhaustion and early signs of stabilization. Because nothing says “stabilization” like a market so scared it’s considering a career in monkhood.

Bitcoin Sentiment Falls to Four-Year Lows

Matrixport stated that market sentiment has fallen to “extremely depressed levels,” reflecting broad pessimism. It’s like the financial world’s version of a post-breakup text: “I’m fine, really. Just… don’t call me.”

The firm’s Bitcoin fear and greed index shows that durable bottoms often form when the 21-day moving average drops below zero and then turns higher. Because nothing says “recovery” like a number that’s technically positive but still feels like a betrayal.

According to Matrixport, that reversal is now taking place. “This transition signals that selling pressure is becoming exhausted and that market conditions are beginning to stabilize,” the firm said in a note released Tuesday. Because nothing says “stability” like a market that’s so scared it’s holding its breath.

📊Today’s Daily Chart – February 17, 2026 ⬇️

Bitcoin Sentiment Hits Extreme Lows ⁰- Durable Bottom Are Emerging?

– Matrixport Official (@Matrixport_EN)

Previous readings at similar levels occurred in June 2024 and November 2025. Both periods followed sharp market declines and were later followed by price recoveries. Because nothing says “recovery” like a market that’s just realized it’s been holding its breath for three years.

Historic Oversold Signals Emerge

Matrixport noted that sentiment and price action tend to move in cycles. The firm said the latest data suggests the market may be nearing another inflection point. Because nothing says “inflection point” like a market so desperate it’s willing to bet on a miracle.

However, it cautioned that prices could still decline in the short term. Because nothing says “short term” like a market that’s already been in a tailspin for a decade.

Data from Alternative.me also shows deep fear across the market. Its Fear and Greed Index recently recorded a reading of 10 out of 100, which indicates extreme fear and matches levels last seen in mid-2022. Because nothing says “extreme fear” like a market that’s so scared it’s considering a career in monasticism.

Frank Holmes, chairman of Bitcoin mining firm Hive, said Bitcoin is trading about two standard deviations below its 20-day average. “This is a level we’ve seen only three times in the past five years,” he said. Because nothing says “rare” like a market that’s been in a slump so long it’s forgotten what a rally feels like.

Related Reading: Metaplanet Doubles Down on Bitcoin With New Equity Strategy

Extended Loss Streak Adds Pressure

Bitcoin is also at risk of closing February in negative territory. If that occurs, it would mark five consecutive monthly losses. This would be the longest losing streak since 2018. Because nothing says “longest losing streak” like a market that’s been in a slump so long it’s started to question its life choices.

Holmes noted that past oversold conditions often led to short-term rebounds over the following 20 trading days. He added that while volatility remains, the broader fundamentals continue to support the asset over longer periods. Because nothing says “longer periods” like a market that’s been waiting for a rebound since the Obama administration.

– HIVE Digital Technologies (@HIVEDigitalTech)

Matrixport said that deeply negative sentiment readings have historically offered attractive entry points. The firm maintained that cyclical patterns between sentiment and price action remain intact, and that the current setup may signal a shift in market direction. Because nothing says “shift in market direction” like a market that’s been so low it’s practically a trench.

Read More

2026-02-17 21:56