Digital Asset Fear & Greed Index Hits Neutral Zone After Brutal Sell-Off

Crypto sentiment stages cautious recovery as extreme fear subsides
The Crypto Fear & Greed Index has finally crawled out of the 'extreme fear' territory that's been haunting traders for weeks. After a punishing sell-off wiped billions from the market, the benchmark sentiment indicator now sits squarely in neutral ground—neither greedy nor fearful.
Market participants are breathing a tentative sigh of relief as volatility cools from recent extremes. The shift suggests traders are reassessing their positions without the panic that characterized last month's trading action.
Neutral readings typically precede major directional moves—either a resumption of the bull trend or confirmation of deeper correction territory. With institutional money waiting in the wings and retail traders licking their wounds, the next big swing could come from either direction.
Because nothing says 'healthy market' like investors being too traumatized to feel anything at all.
TLDR
- US Representative Ro Khanna plans to introduce legislation banning elected officials, including President Trump and his family, from trading cryptocurrencies and stocks
- Khanna called Trump’s pardon of Binance founder Changpeng Zhao “blatant corruption,” linking it to Zhao’s support of Trump family crypto project World Liberty Financial
- The California Democrat claims Zhao supported World Liberty Financial after receiving the pardon, though Eric Trump maintains his father has no involvement in the business
- Khanna himself has traded over $580 million in stocks since 2017, including $80.3 million in 2025 alone
- The proposed bill has not yet been officially introduced according to government records
California Representative Ro Khanna announced plans to introduce legislation that would ban elected officials from trading cryptocurrencies and stocks. The Democrat made the announcement during an appearance on MSNBC, targeting President Donald TRUMP and his family specifically.
The pardon of Zhao is corrupt.
I explain simply what's going on.
I am today introducing legislation to ban the president, his family, members of Congress, and all elected officials from trading crypto or stocks. @unusual_whales has been sounding the alarm on this for years. pic.twitter.com/OgibgdnqkK
— Ro Khanna (@RoKhanna) October 27, 2025
Khanna’s proposed legislation comes after Trump pardoned Binance co-founder Changpeng Zhao. The pardon has sparked controversy in Washington.
The California lawmaker accused Zhao of money laundering and claimed the pardon represents corruption. Khanna stated that Zhao pleaded guilty to violating the US Bank Secrecy Act after failing to maintain proper Anti-Money Laundering programs at Binance.
Khanna alleges that Zhao received the pardon after pledging support for World Liberty Financial. World Liberty Financial is a crypto project associated with Trump’s sons.
The representative claims the Trump family is making millions from the project while Trump serves as president. Eric Trump has repeatedly denied his father’s involvement in World Liberty Financial.
In a September interview, Eric Trump stated his father “is running a nation” and is not involved in their businesses. These denials have not stopped the criticism.
Zhao Responds to Accusations
Zhao recently pushed back against similar accusations from Senator Elizabeth Warren. He claimed Warren “can’t get her facts right” regarding the allegations.
Zhao served four months in prison for his guilty plea. Khanna incorrectly stated during the MSNBC interview that Zhao served four years.
The Binance founder’s guilty plea was part of a $4.3 billion settlement with the US Department of Justice. Khanna also incorrectly stated that Zhao was convicted rather than entering a guilty plea.
Previous Legislative Efforts
This is not Khanna’s first attempt to restrict trading among elected officials. In 2023, he introduced the Ban Congressional Stock Trading Act.
That bipartisan bill aimed to prevent members of Congress and their families from trading individual stocks. The legislation WOULD have required lawmakers to divest holdings or place assets in blind trusts.
The 2023 bill stalled in committee and never became law. It did help shape ongoing efforts to restrict lawmaker trading activities.
Khanna’s Own Trading Record
Data from Quiver Quant shows Khanna has traded $80.3 million worth of stocks in 2025. Since becoming a California representative in 2017, he has made over 35,000 trades.
His total trading volume exceeds $580 million. His most-traded sectors include financials, information technology, and healthcare.
This trading history raises questions about potential conflicts of interest. Critics point to this as possible hypocrisy given his push for trading bans.
Current Status
According to government records, Khanna’s latest bill has not been officially introduced. No specific details about the proposed legislation have been released.
The debate over whether government officials should trade stocks remains contested. A bipartisan congressional stock trading bill is expected to be voted on soon.