There's a straightforward pattern in how markets work: when people feel good about the future, their wallets open wider. This isn't just casual spending either—optimism directly translates into increased purchasing power and activity across markets.

Why does this matter? Because sentiment fuels action. In crypto and traditional finance alike, bullish momentum doesn't just come from fundamentals. It's psychological. When traders and investors believe prices are heading up, they're more inclined to enter positions. When households are confident about their financial outlook, consumption rises.

This creates a feedback loop. Rising spending strengthens economic data. Better data reinforces optimism. More optimism drives further spending. It's a cycle that can work in both directions—which is exactly why market psychology deserves serious attention when analyzing trends.

The lesson? Pay attention to sentiment indicators, not just price charts. They often signal where money will actually flow next.