Cryptocurrency investor sentiment appears to have dropped sharply as its Fear & Greed index
, which serves as an aggregate for investor confidence and attitude towards the market, dropped from 24 earlier this month to 10, showing a state of “extreme fear.”
The index, it’s worth noting, is based on emotional behavior in the market. When fear sets in, some investors may see a buying opportunity, while greed may be a sign the market is due for a correction.
Total value locked in the decentralized finance (DeFi) space has meanwhile risen slightly after Terra’s collpase when measured in U.S. dollars from around $111 billion to around $114 billion, according to data from DeFiLlama
. MakerDAO, the entity behind the DAI stablecoin, makes up 8.66% of the TVL with over $9 billion on its protocol.