Bitcoin price dip to $112.6K amid ultra-bearish sentiment
Bitcoin price dip to $112.6K marks an 8.5% retreat from last week’s all-time high. Retail panic selling drove social sentiment to multi-week lows, with Santiment reporting the weakest mood since June. The total crypto market cap slipped below $4 trillion and the Fear & Greed Index fell to 44 (“Fear”). Extreme negative sentiment often triggers dip-buying as fear peaks. Traders should watch on-chain flows and sentiment indicators for a potential bounce. Staged buying and strict risk controls are advised, as historical pullbacks in 2017 and 2021 preceded fresh highs.
Bullish
Despite the recent Bitcoin price dip and ultra-bearish social sentiment, these conditions often signal a contrarian buying opportunity. Historical bull cycles—including the 2017 and 2021 corrections—saw deep pullbacks followed by strong recoveries and new highs. Extreme fear and low Fear & Greed Index readings tend to coincide with seller exhaustion, setting the stage for dip-buying. Traders monitoring on-chain flows, sentiment metrics, and market cap trends may find attractive entry points for short-term rebounds and sustained long-term gains.