When the Crowd Screams “FUD!”-It’s Time to Buy Bitcoin (Whispers to the Greedy) 🤑🕵️‍♂️

If “smart traders” have brains like a sieve, you’d think they’d at least keep the holes in different places. Last week, while retail investors threw their morning coffee at the wall due to some populist’s 100% tax tantrum, these *mystery savvy folk* probably bought Bitcoin with the calm of a witch-burning crowd that’s already bought the torches for later. Santiment, that data oracle with a questionable fashion sense, claims they’re “scooping up” crypto like seagulls after a chip toss.

“Retail’s emotions often dictate that Bitcoin’s and altcoins’ prices are about to do the opposite,” said Brian Q, a Santiment analyst who clearly hasn’t had a pet cat die recently. “Ah yes, FUD-Food, Utensils, and Diplomatic options. Or in crypto terms, FUD = Fear, Uncertainty, and Debating whether you should’ve invested in that NFT of a pixelated dragon.”

The market, predictably, tanked on Friday when Mr. Trump_brand™ announced tariffs thicker than a pirate’s accent. Brian Q helpfully reminds us that this was one of four “peak crowd fear” moments in 2025. For context, the other panic dates included Iran-Israel tension soup, Mid-East takeout drama, and that terrifying August revelation: maybe banks won’t give us free money forever!

“Smart traders scooped up more while the crowd was in panic on each of these dates,” Brian Q said. “Ah yes, because nothing says ‘wisdom’ like buying while everyone else is screaming, *except a witch trial*!”

FUD pushes retail out, but they always come back

Santiment noted that retail investors, once realizing the news was overblown, “benefited the dip buyers-which is just a fancy way of saying ‘the panic-purchasers made you rich while you weren’t in the room.’”

During the *latest bout of FUD*™, 47% of crypto chatters were obsessing about Trump’s tariffs. Retail negativity hit “all-time highs”-which is impressive when you consider most crypto traders buy Dogecoin then blame the moon’s gravity.

Last Friday’s market massacre left portfolios bleeding faster than a vampire in a bakery. But guess what? Investors came back when Trump walked back tariffs and Scott Bessent politely said, “Nope, we’re not doing that.”

“This has become an all too common pattern in 2025. Retail gets shaken out by fear, then jump back in after the fear-inducing topic is confirmed to have been overblown or all for nothing of ‘RIP my savings, I’m buying more crypto at the bottom’ vibes.”

“Since crypto is sentiment-driven, traders collectively decide what news should impact their confidence in markets. And there is enough evidence to show that Trump’s tariffs have instant impacts on reversals whenever a new development unfolds,” Brian Q said. “Oh, the *human drama*! It’s better than a Netflix limited series, minus the actual plot.”

“Emotional trading tied to political news continues to dominate short-term market behavior, arguably more than we have ever seen in crypto’s 17+ year history.”

Kraken’s survey of 1,248 crypto users in 2024 revealed that 81% of investors said FUD motivated them. “Ah yes, because 2025’s most popular hobby is crying into trading apps!” Also, 63% admitted emotional decisions wrecked their portfolios. “Like baking a soufflé in a hurricane.”

Fear and Greed Index is sitting in fear

Bitcoin may be hinting at recovery, but the Crypto Fear and Greed Index is currently in “fear” territory at 38-because nothing says “confidence” like a 38/100 score. On Sunday, it dropped to 24, which is even lower than a teenager’s hopes for finding a Netflix password.

Last week, the index was in “Greed” territory at 70-a number so high it could only be achieved by someone who thinks 500 BTC is a budget. Now it’s back to post-apocalyptic levels of fear, much like a pre-Gutenberg rabbit spotting a knight in shiny armor.

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2025-10-14 05:48