Iceland has been playing extremely well so far in the Euro 2016. Their performance against Portugal was absolutely shocking and inspiring. If they can continue that momentum into other games as the tournament progresses, there is no doubt that Iceland's team could be the Cinderella team in this year's tournament.
We always want to attach labels onto something but if we just let it play out and not worry about what label is going to be attached to a certain team then we will not have the headache of trying to figure things out. Only time will tell and we can not predict the future.
The Euro 2016 soccer competition is a popular one worldwide. Iceland in particular has become something of a "dark horse" candidate in the competition as people notice that they are performing much better than usual. However, I don't think that they will win: there are other teams for whom soccer is not as much of a challenge (such as Germany or England), and therefore who have won more frequently. I think the same will hold true in this year's competition.
What Iceland`s soccer team is doing is not a “Cinderella run”. Being a Cinderella implies that you aren’t the best team, that you can lightening in a bottle, pull off a couple of upsets against the biggest names in the sport and find yourself on a stage you never imagined you would be on.