Bitcoin’s price has dropped to Thursday which put it under the “Fire Sale!” band on Bitcoin Rainbow Chart – a depth not reached since the FTX crash in November 2022 – when the Fear and Greed Index registered a reading of 12 out of 100, within the “Extremely Fearful” category.
Bitcoin price opened today near $63,500 after dropping below $62,000 last night. This puts BTC below even the cheapest group on the Bitcoin Rainbow Chart – a level historically represented as a rare and extreme symbol.
The Bitcoin Rainbow chart is a wide curve covered with colored sentiment bands. A very deep group – called “Basically a Fire Sale!” – represents the lowest part of the expected value model. When Bitcoin trades below that, the stock stays outside of the historical highs that characterize BTC’s price.
The final definitive breakdown of the “Fire Sale!” bottom occurred during the fall of FTX in November 2022, when the crypto empire of Sam Bankman-Fried to enter and BTC cratered with forced selling forced across the market. That event remains one of the biggest financial crises in crypto history.
Per Bitcoin Magazine Pro from March 2026, the price of Bitcoin had already started to test under the “Fire Sale!” zone – which was described at the time as “its first drop in the zone since the FTX crash”.
A new low on June 4th extended this breach, and lost money for the second week in a row.
Bitcoin Price and Market in ‘Extreme Fear’
Index of Fear and Greed, which they run on a scale of 0 to 100, registered 12 on Thursday – putting the market in “Very Fearful”. This index combines volatility, market volatility, public opinion, and derivatives into one unit.
Reading below 25 shows a great fear, which, according to his plan, has been before the time to restore the trees.
February 2026 saw the index hit a record low of 5, led by a 52% drop from Bitcoin’s peak price of $126,000. Thursday’s reading of the 12th is above the nadir, as is the price of Bitcoin he continues his slide from the surrounding area.
On X today, Strategy’s Michael Saylor they argued This transaction shows the investment of businesses that are revolving around the infrastructure of AI instead of the destruction of the basic needs of Bitcoin. The decline may have been exacerbated by concerns about Strategy selling 32 BTC to fund its preferred dividend – the first sale of bitcoin since 2022 – although the company recently reduced debt by repurchasing $1.5 billion of convertible notes at a discount.
