- Bitcoin shows more greed than fear after its retrace, but history suggests that too much optimism often triggers price corrections soon.
- Ethereum sentiment leans on fear even after strong performance, and this cautious mood could quietly fuel its next big price rally.
- Whales and institutions are buying while retail panics, showing that smart money sees strength in both Bitcoin and Ethereum long term.
Bitcoin and Ethereum are moving into a decisive moment as traders weigh sentiment shifts, price action, and institutional activity. Bitcoin recently tested highs of $119,339 on August 15 before retreating to $117,339, while Ethereum’s crowd sentiment showed contrasting signals. Analysts note that these dynamics are setting up the next major trend in the crypto market.
Bitcoin Faces Greed Spike
Santiment data highlights that Bitcoin traders displayed strong greed following the recent price retrace. The analysis tracked mentions of “higher” or “above” versus “lower” or “below” across social platforms. Consequently, Bitcoin’s crowd remained more optimistic, with greed sentiment towering over fear. However, such excess optimism often signals risk of correction.
Source: Santiment
Additionally, volatility is confirmed by the BTC/USD chart. The prices varied from $105,000 to $119,000 between July 25 and August 15. On August 13, Bitcoin had a retracement after a spike. Support is currently located close to $116,000, while key resistance is currently located around $120,000.
Moreover, Ichimoku cloud readings reveal resistance in the short term despite a broader bullish bias. Hence, traders are watching for either a breakout or a deeper retest.
According to analyst Crypto Seth, the recent spike liquidated billions in shorts before the market pulled back into the support cloud. He notes that whales are buying, while retail traders panic.
Consequently, he argues the risk of a final top is lower than many expect. Furthermore, he points to renewed institutional interest, with BlackRock clients reportedly buying ETH-focused ETFs.
Source: Crypto Seth
Ethereum Shows Fear-Driven Strength
In contrast, Ethereum tells a different story. Santiment data shows the ETH crowd leaning heavily toward fear after its retrace. The blue bars in the data reveal dominant negative sentiment despite Ethereum’s stronger three-month performance against Bitcoin. Moreover, this signals that traders remain cautious, which historically precedes renewed upward moves.
In August, ETH also regained momentum after breaking a multi-year downward trend against Bitcoin. Higher goals are currently located close to 0.039 and 0.04 BTC, with support forming around 0.0377 BTC. As a result, Ethereum seems to have a stronger structure, and its apprehensive attitude points to possible hidden benefits.
