Let me question your statement. Is Iceland "into" woo? I've only spent a couple of months there, but I saw no glaring evidence of this. I do think Icelanders are rather proud of their culture, as small communities often are- and a big part of that is trolls, Odin etc.
I recall a bus driver, a schoolteacher outside the summer months, who was most insistent that all his passengers should say "Good Morning" to the Trolls- some lava pinnacles on the road to Lakagigar. He claimed this would ensure the river would be low enough to get the bus across. Now one could take this at face value as evidence of superstition, but to me it was just a clever guy, getting a bunch of strangers involved in the landscape they were passing, while keeping himself amused in a fairly dull job.
Iceland became Christianised in 1000AD or thereabouts. After 30 odd years of missionary attempts bore little fruit, the king of Norway imposed trade sanctions on Iceland, whereupon the Icelandic parliament appointed an arbitrator, Thorgeir Thorkelson, to decide whether the island should become Christian or not. As a priest of the old religion, thorgeir might have been expected to side that way, but in fact he could read the writing on the wall quite clearly. Icelanders are pragmatists. It's not a place for existentialist philosophy- you need to get the crops in, catch fish and get stuff done.
Thorgeir decided to Christianise and basically the entire country accepted his decision, because the cost of not doing so was going to be high.
If they could dump paganism for solid reasons of politics 1000 years ago, can they really be so superstitious now?
The Odadahraun can be a damn spooky place when the haar rolls in from the sea. Being polite to the Trolls can't hurt. You never know...