Fear and Greed Index Plummets Amid Global Recession Fears

Amid widespread market panic due to President Donald Trump’s “liberation” tariffs, the cryptocurrency fear and greed index has plunged to 25 points.

Within a day, the index dropped to 20, indicating “extreme fear.”

The corresponding index for the stock market also signals panic.

On April 3, the American stock market plummeted by $1.65 trillion.

Axios has warned of the onset of a “third global recession.” Since World War II, such events have occurred twice: the financial crisis of 2008-2009 and the coronavirus pandemic in 2020, the publication noted.

The “Liberation Day” tariffs introduced by Trump, if maintained—especially with retaliatory measures from affected countries—could become the third economic shock of this magnitude in the past 17 years.

Earlier, on April 3, a theory emerged online suggesting that the new tariffs were developed by artificial intelligence.

The Guardian noted that the announcement of retaliatory tariffs against the U.S.’s trading partners could trigger a chain reaction, potentially escalating into a “world war on the economic front.”