The crowd has largely written off Ethereum, according to Santiment, which said this extreme pessimism actually raises the odds of a rebound.
The on-chain analytics firm found that Ethereum’s social sentiment has plunged into an “extreme fear zone” as traders react to months of underperformance versus Bitcoin and many other altcoins.
That selloff has been intensified by ongoing debate about the Ethereum Foundation, criticism of its leadership and priorities, and controversial remarks from Vitalik Buterin that have added to market uncertainty.
Is a Rebound Likely?
Santiment noted that the ratio of positive-to-negative commentary has fallen to one of the lowest levels of the year, signaling that bearish narratives are dominating social media.
A similar situation occurred when ETH prices dropped to comparable levels in April 2025. Widespread FUD reached record intensity and many declared “Ethereum is dead.”
Four months later, ETH had tripled in price and reached new highs.
“Historically, Ethereum has tended to rebound when social sentiment reaches extreme FUD levels because prices frequently move opposite to the crowd’s expectations.”
Santiment argues that when traders become overwhelmingly convinced an asset will keep falling, much of the potential selling pressure has already been exhausted.
✍️ TL;DR: Crowd has written off Ethereum, making the probability of a rebound substantially higher
📊 Metrics Used: Positive vs. Negative Commentary Ratio
Glassnode adds another perspective: the share of ETH supply held at more than three times profit has fallen to just 11%, the lowest level since 2017. That suggests Ether’s profitability profile has “fundamentally compressed” compared with prior cycles.
To be fair, Bitcoin is also feeling the pressure—Glassnode reports that 50% of Bitcoin’s supply is currently in loss, a yearly high—indicating the broader crypto bear market is weighing on multiple assets.
ETH Price Outlook
In the short term, Ether’s price remains weak. Over the past 24 hours the token tested an intraday low near $1,620 twice.
With little clear bullish momentum or catalysts, a move back toward $1,500 looks increasingly likely. That level has acted as major support in the past and held when Ether went through similar weakness about 14 months ago.
Still, extremes in social fear have historically been contrarian indicators for ETH, and if history repeats, the current pessimism could set the stage for a meaningful recovery once selling pressure eases and bullish signals return.