Rising Optimism Among Ethereum Traders
Ethereum sentiment is shifting quickly. According to market intelligence platform Santiment, online chatter around Ether (ETH) has turned notably bullish after the token saw a mild price rebound on Thursday. This optimism stands in contrast to the broader crypto market, which remains gripped by “Extreme Fear,” as measured by the Crypto Fear & Greed Index.
Santiment reported a surge in positive commentary after Ether nearly touched the $3,500 level, with traders viewing the move as a sign that ETH was “back on track.” On average, there were 2.7 bullish comments for every bearish one—Ethereum’s strongest positive bias since July.
“Ethereum traders have quickly pivoted from being extremely bearish to extremely bullish,” Santiment noted, explaining that the quick rebound toward $3,500 encouraged traders to regain confidence in the asset.
Over the last 24 hours, Ether has fluctuated between $3,251 and $3,451, and was trading near $3,323 early Friday, according to CoinGecko.
Why FOMO Could Slow Ethereum’s Rally
Despite the rising optimism, Santiment cautions that such bullish sentiment may ultimately work against Ethereum’s price. Historically, crypto prices often move opposite to crowd expectations.
Earlier this week, when Ether was trading around $3,700, Santiment measured just 0.86 bullish comments for every bearish one—the second-most negative sentiment for ETH since April. This level of fear historically supports price rebounds, the firm said.
Santiment added that the recent rally was “fueled” by earlier fear and a brief sell-off, but warned that renewed FOMO may now slow Ethereum’s momentum. The firm suggests that the real buy signal for ETH will come when traders “slow their expectations of a quick return to $4,000” and when bullish sentiment cools off again.
Fear Still Dominates the Wider Crypto Market
While Ethereum traders are turning optimistic, the broader digital asset market remains deeply cautious. Analysts link this downturn to escalating trade tensions between the United States and China, along with other macroeconomic pressures affecting global risk appetite.
The Crypto Fear & Greed Index recorded a score of 24 out of 100 on Friday—firmly in “Extreme Fear” territory—after spending the previous week hovering around the “Fear” range. The index dropped sharply to 21 on Tuesday, its lowest level in nearly seven months, following Bitcoin’s brief dip below $106,000.
Bitcoin (BTC), currently near $101,890, triggered even more risk-off sentiment during the drop. However, some industry voices remain optimistic. Samson Mow, founder of Bitcoin infrastructure firm Jan3, has continued sharing bullish outlooks on X, arguing that the Bitcoin bull run has not yet begun and still offers significant upside potential.
Ethereum Eyes Recovery While Market Caution Persists
With Ethereum sentiment surging but wider crypto markets still fearful, traders face a split landscape. ETH’s short-term momentum hints at recovery potential, but Santiment’s analysis suggests caution: overly bullish sentiment has historically preceded pullbacks.
For now, Ethereum’s path forward may depend on whether traders can keep emotions in check—and whether market-wide fear continues to weigh on digital assets.
