ETH/BTC Performance: Key Insights & Analysis
According to CryptoQuant, Ether has underperformed Bitcoin by 44% since Ethereum’s transition to Proof-of-Stake (The Merge).
Despite initial optimism, network activity and supply dynamics have hindered Ethereum's growth compared to Bitcoin and even certain altcoins like Solana and BNB.
The ETH/BTC ratio currently sits at 0.0425, its lowest since April 2021.
Key Points:
🔸 Ethereum has been lagging behind Bitcoin and altcoins in performance since The Merge.
🔸 Weak network activity (lower transaction fees and declining transaction count) and growing ether supply are contributing factors.
🔸 Analysts predict Ether could fall another 50% against Bitcoin to reach undervaluation.
💡 My Take:
Ethereum’s switch to Proof-of-Stake was a monumental step, but this underperformance signals that more factors need to align for Ethereum’s long-term success.
The declining transaction fees post-Dencun upgrade and rising supply may be causing short-term pressure, but this could also signal a period of recalibration for Ethereum's network.
While Bitcoin remains a stronger asset, Ether’s evolving infrastructure and future updates may still offer growth potential in the long run.
Stay informed, and always weigh both the technical and macro factors before making your next move. 💡
