Social sentiment around Bitcoin (BTC) has shifted to its most bullish level in four months after the cryptocurrency climbed past the $80,000 mark earlier this week.
Data released by Santiment on May 7 shows this swing, reflecting a market that quickly moved from fear to optimism following weeks in which BTC’s price was pressured by macroeconomic uncertainty and crypto-related security incidents.
Traders Turn Optimistic as Bitcoin Rebounds
Retail traders are once again leaning into bullish positions across social media. Santiment’s Positive/Negative Sentiment metric—analyzing posts and threads from major platforms with a machine-learning model to separate bullish from bearish commentary and calculate the ratio—captures this shift.
The current reading of 1.37 is the highest since early January, when the market was benefiting from a strong finish to 2025. In contrast, sentiment collapsed into deep bearish territory in mid-April after the KelpDAO exploit.
At the time, Santiment observed that the panic had a constructive side: it cleared out less committed holders and set the stage for a recovery.
That rebound has arrived, and with optimism now approaching multi-month highs, Santiment warns of the flip side of renewed euphoria.
“As fear disappears and FOMO rapidly takes over social media discussions, traders often enter positions late into rallies,” Santiment wrote, “increasing the probability of local tops, profit-taking, and sudden volatility.”
The firm stresses this does not mean the rally is over, but that the risk profile is materially higher now than it was a few weeks ago when many market participants were still panicking.
What the Data Needs to Confirm a Bottom
On the price front, Bitcoin was trading around $81,000 at the time of reporting, up roughly 7.5% over the past seven days and about 18% in the last month.
BTC briefly reached $82,000 on May 6, a three-month high, before pulling back slightly; the 24-hour range was approximately $80,800 to $82,800 according to market data sources.
Not all analysts view the recovery as a clear bullish setup. Bitfinex strategists described the move above $80,000 as potentially misleading and argued the market may not be positioned for sustained upside.
Other traders, however, are watching whether Bitcoin can reclaim higher realized price bands associated with holders who went underwater in late 2025 and early 2026. These realized prices represent levels at which prior buyers might be inclined to sell once prices recover.
Market commentator IT Tech suggests a more definitive confirmation of a durable bottom would require BTC to break above and hold approximately $89,000. He highlights several realized price zones between $89,000 and $112,000 where trapped buyers could look to exit positions as prices recover, which could create resistance and influence the path forward.
In summary, social sentiment has swung sharply bullish as BTC rallies past $80,000, yet analysts caution that elevated optimism can bring heightened volatility and potential local tops. Price action around the $89,000–$112,000 realized price bands will be important to monitor for signals that a sustained bottom is in place.