Ethereum’s 49% Rally in 6 Days Catches Doubters Off Guard: Santiment

Ethereum (ETH) has roared again into the highlight with a vengeance, surging over 49% in simply 6 days to briefly flash previous $2,700, a value level not seen since February 23.

The rally, which started on Might 7 after ETH bottomed close to $1,800, has reignited speak of the long-dormant “flippening” narrative, wherein Ethereum may overtake Bitcoin (BTC) in market capitalization.

From FUD to FOMO

In line with a Might 13 report from Santiment, Ethereum’s six-day run, which took it from underneath $1,800 to over $2,700, marked one of many sharpest rebounds in current reminiscence and triggered a dramatic shift in sentiment.

Analyst Brian Q partly attributed the turnaround to crypto’s deeply irrational crowd habits. He famous that only a week in the past, social media was rife with jokes about Ethereum’s underperformance, with bearish value requires ETH dominating on-line conversations between Might 6 and seven because the asset lagged behind rivals.

Nevertheless, as soon as the rally began on Might 8, the temper flipped dramatically, as retail merchants scrambled to justify entry factors, with some speculating on the altcoin going to $3,500 and past.

“We will actually see how value calls throughout social media have executed an entire 180 as doubters have been silenced by Ether’s rally,” wrote Brian Q.

Santiment additionally famous how years of underperformance had conditioned the market to dismiss Ethereum, just for the world’s second-largest cryptocurrency by market cap to pump when least anticipated.

“With dismissal from the gang,” the report said, “comes huge pumps that blindside the doubters.”

Institutional Strikes and On-Chain Indicators

Curiously, the rally coincided with aggressive accumulation by some institutional gamers. On-chain tracker Lookonchain reported that within the final week, London-based Abraxas Capital bought 242,652 ETH price some $561 million, with 185,309 ETH valued at $400 million plucked from exchanges in simply 72 hours.

Consultants say ETH’s value motion is greater than only a brief squeeze, with analyst Rekt Capital pointing out that the cryptocurrency closed final week at $2,514, formally reclaiming its macro $2,200 to $3,900 vary misplaced within the first quarter of 2025.

“Any dips, if wanted in any respect, would solely solidify $2,200 as range-low assist,” he wrote on Might 12, whereas additionally highlighting the asset’s makes an attempt to fill a macro CME hole between $2,900 and $3,350.

Including to Ethereum’s power is the surprisingly low community charge setting. Beforehand, Santiment famous that common transaction charges stay round $0.84, nicely beneath the $7+ seen six months in the past, eradicating a typical barrier to adoption.

Nevertheless, cautious voices have warned that the present buying and selling zone between $2,400 and $2,700 may very well be a consolidation section earlier than the following leg up or a attainable shakeout. In line with Daan Crypto Trades, if momentum falters, there could also be a attainable retest all the way down to $2,300 and even $2,100.