Remember the phrase – be fearful when others are greedy and be greedy when others are fearful? Well, there’s a similar notion going on in the cryptocurrency space, as certain assets tend to do the opposite of what the crowd expects from them.
This has been the case with Ethereum in the past few weeks (maybe a month) as the asset has gained over a grand since its $1,400 lows registered in early April.
The Reverse ETH Trade
It was early April, 7 and 9. US President Donald Trump was slapping tariffs left and right, and essentially every country got some. Fear was spreading fast, financial markets were plunging, and hope was nowhere to be found. Sounds like the distant past, right?
A lot can change in a month and the cryptocurrency space certainly proved that to be true once again. Ethereum became a laughing stock at one point during this massacre as its price had tumbled by over 60% since the December/January peaks of over $4,000. In fact, ETH not only erased all gains since the start of the bull cycle, but actually traded a lot lower than it did before the US elections.
It had tumbled to $1,400, a level not seen since early 2023. The FUD was going crazy, with various entities, whales, and even retail selling off en masse.
In general, though, that’s where the most lucrative financial opportunities emerge. This seems to be the case for ETH as its price skyrocketed to almost $2,500 earlier today. Or, to put it in other words – an 80% surge in a month. The past 24 hours have been particularly favorable, as ETH jumped by over 25% at one point.
And a big portion of these gains came after the implementation of the latest upgrade – Pectra – which was first seen as a disappointment. According to Santiment, ETH has just “provided a textbook example on how it pays to be a contrarian against the retail crowd.”
Ethereum has provided a textbook example on how it pays to be a contrarian against the retail crowd. Following disappointing price performances following the Pectra upgrade yesterday, many traders sold off their ETH bags and instructed others to do the same in favor of various… pic.twitter.com/ABIqtfnpKw
— Santiment (@santimentfeed) May 8, 2025
Above Important Resistance
Popular crypto analyst Ali Martinez noted yesterday while ETH was trying to break out that the asset is currently fighting to surge above an “important level,” which will determine whether this rally has actual substance to it or it might turn out to be a fakeout.
In the following hours, the second-largest cryptocurrency spiked above it and remains steadily there, even though ETH’s run was stopped (at least for now) at $2,500.
This is a very important level for #Ethereum $ETH! pic.twitter.com/c0pWVssYY3
— Ali (@ali_charts) May 9, 2025
Meanwhile, you can check some of the most recent ETH price predictions from experts here.
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