The lyrics to Cream's "Sitting On Top Of The World" tell the story of a man whose lover has left him. Despite the heartbreak, the narrator remains optimistic and confident, claiming that he's "sitting on top of the world." The song's opening lines describe the woman's departure on a summer day, revealing that she has left him for good. Although he acknowledges the pain of her leaving him, the man is not overly concerned as he believes he has everything he needs to be content in life.

In the following verse, the narrator explains that he has spent the entire summer working hard and has continued to do so throughout the fall. While he admits to having had to celebrate Christmas in his overalls, his resolve remains strong. He maintains his optimistic outlook by singing the chorus, "She's gone, but I don't worry: I'm sitting on top of the world."

The final verse finds the narrator leaving his town, heading towards the freight yard to catch a train. He sings of his desire to leave behind the memories of his departed lover and start anew. Yet, even with the uncertainty of his future, he remains unshaken, confident that he'll be able to overcome whatever challenges he encounters.