I think I am getting scammed by a loan company or private lender

This is absolutely a scam. Do not send them any money. Real loan companies can have application fees, but they don’t take them in Bitcoin.

I contacted a loan company...

Have you taken any steps to make sure that this company actually exists? Do they have registered officers, a physical address, and things like that?

But I have to pay a cyber fee...

What, exactly, is a "cyber fee"? What is this fee even for?

...through crypto PayPal or etransfer.

No financial institution I've dealt with accepts payment by PayPal - they just take it out of my checking account. Nor do they accept payment in crypto.

Also they want me to pay through bitcoin to get my loan. Is this legit?

No, absolutely not. Legitimate financial institutions don't accept payment in BitCoin.

This looks like an advanced-fee scam. If you pay the fee, they'll most likely either come up with some other fee you need to pay before you get the money or simply disappear with what you've already paid them.