Ethereum is once again drawing attention after a sudden rally that caught even the most seasoned market participants off guard. In just six days in May, ETH’s price surged nearly 49%, climbing from a local low of $1.792 to $2.670. Amid earlier skepticism on social media and talk of the altcoin’s "death," the sharp price increase came as an unpleasant surprise to those who had prematurely written Ethereum off.
From Mockery to FOMO
According to analysts at Santiment, the surge in Ethereum-related activity began after May 8, when crowd sentiment shifted abruptly from mockery to speculation about a potential move above $3.500. Prior to that, the overwhelming majority of social media posts were negative — especially on May 6 and 7 — when ETH lagged behind other altcoins.
Interest in Ethereum in 2025 echoes the hype surrounding the so-called “flippening” theory that was widely discussed in 2016–2017. At that time, some believed Ethereum could surpass Bitcoin in market capitalization due to its broader functionality and growing developer base. Although that never materialized, debates around technological superiority versus Bitcoin’s status as “digital gold” remain relevant.
The Flippening Theory. Source: @alistairmilne
Transaction Fees Remain Low
One factor that helped renew interest in the network was the unexpectedly low transaction fees. As of mid-May, the average Ethereum transaction fee is just $0.84—eight times lower than in November 2024, when fees exceeded $7. The drop in on-chain activity and trading during the earlier price slump made the network more accessible, which in turn spurred renewed engagement.
Analysts caution that if fees climb back above $2, it could signal network overheating and a potential reversal of the current trend.
Sustained Interest and Correction Risks
Despite the sharp rally, Ethereum’s 30-day average return has now exceeded +32,5%, which is significantly higher than the +15% comfort zone typically recommended for altcoins. While this doesn’t necessarily indicate an imminent decline, experts warn it could suggest a correction or at least a slowdown in the current momentum.
Ethereum's 30-day MVRV. Source: Santiment
However, Santiment notes that enthusiasm has not yet reached a critical level. Discussions around Ethereum remain mostly positive, but without the euphoric overtones characteristic of the final stages of a bubble. This suggests the rally may not be over yet.
Is ETH Serious Again?
For long-term Ethereum holders, the current price action feels more like validation than surprise. Still, the market remains unpredictable: interest in ETH could strengthen further or quickly shift to a new wave of memecoins — especially if Bitcoin surges toward another milestone, such as $110.000.
Nevertheless, Ethereum has regained some of the trust it had lost and is once again likely to shape the narrative in the crypto space.
This post is for informational purposes only and is not an ad or investment advice. Please do your own research making any decisions.
