Key Highlights:
- He Yi blames FUD for CMC Fear & Greed Index.
- AI tool BIRDEYE deems Binance FUD a coordinated smear.
- Different investor groups are reacting differently.
Binance co-founder He Yi weighed in on the panic that is gripping the crypto market right now. She pointed out that the Crypto Fear & Greed Index crashed to just 5 on CoinMarketCap, which indicates extreme fear within the market. According to her, this level of fear does not come out of nowhere.
She tied it to growing scrutiny around Binance and pushed back hard against the narrative, echoing an AI analysis by @openai_study that called the situation a coordinated smear campaign rather than organic concern.
Basically, when fear hits rock bottom, rumours spread faster, headlines get louder, and every move by a major exchange gets magnified. He Yi’s message was clear, this is not just market nerves, it is fear being amplified on purpose while sentiment is already on the floor.
Three Tiers of Market Sentiment
He Yi, in her post on X, explained how fear and negative news affect different types of crypto investors. New investors usually see Binance as the whole crypto market, so when they hear constant bad news, they hesitate to enter at all. Active traders on the other hand, unsure about what might happen next, choose to cash out and lock in profits instead of taking risks.
Long time crypto holders, or ” OGs,” are mostly financially secure but grow tired of repetitive, low-quality FUD and mass AI-driven attacks, which slowly creates doubts and even makes them consider stepping away. Together, these reactions have pushed the Crypto Fear and Greed Index on CoinMarketCap into extreme fear territory between 5 and 10, reflecting how cautious the market has become.
AI Tool BIRDEYE Calls Out Coordinated Attack
On X, a Twitter handle (openai_study) tweeted that an AI which it calls the BIRDEYE tool using a SmartQuantEngine, analysed crypto market narratives and data. According to that particular tweet, this tool claims that it did not find real, natural investor fear causing the market drop. Instead, it stated that the fear was a planned smear campaign against Binance.
The message included phrases like “AI NEVER LIE,” indicating that the AI results are a proof of a coordinated negative narrative rather than normal market concerns, and tags topics like Binance, FUD, and AI-related hashtags.
Optimism Amid Turbulence
He Yi stayed bullish and stated “When the FUD subsides, the crypto market will rise again.” Binance, the top platform by volume, faces controversy, but allies see it as noise. With the Fear & Greed Index at lows, AI tools may debunk FUD, sparking recovery.
Also Read: ONDO Price Poised for Major Breakout as Wedge Tightens
Source: https://www.cryptonewsz.com/he-yi-comment-binance-fud-extreme-market-fear/
