Daily News 19

Tag: ETH/BTC ratio

  • ETH/BTC Ratio Surges 25% in Q3 as Ethereum Targets Strongest Quarter on Record

    ETH/BTC Ratio Surges 25% in Q3 as Ethereum Targets Strongest Quarter on Record

    Ethereum has significantly outperformed Bitcoin during the third quarter, with data suggesting a pronounced capital rotation into $ETH and higher-beta assets as $BTC stalled near the $80,000 resistance level.

    Dominance Metrics Signal Major Rotation

    According to a quarterly framework analysis, Bitcoin’s dominance grew by a modest 1.5% quarter-over-quarter. In contrast, Ethereum’s dominance surged over 25% during the same period. The $ETH/$BTC trading pair mirrored this strength, rising more than 25% in Q3—its highest quarterly increase since Q3 2025.

    However, the ratio remains capped near the 0.03 resistance area. A decisive break above this level would be required to confirm a sustained, bullish rotation into Ethereum.

    Source: TradingView ($ETH/$BTC)

    On-Chain Dynamics Favor Ethereum

    Bitcoin’s on-chain metrics provide further context for the shift. The asset’s True Market Mean Price is gradually approaching $76,921.27. Analysts suggest that if $BTC reaches this level, a fresh wave of selling pressure could trigger new exchange deposits, creating the liquidity conditions necessary for capital to rotate into Ethereum.

    One analyst predicts Ethereum will outperform Bitcoin once the broader market flips to a “risk-on” stance, driven by a confluence of on-chain and technical factors. With $ETH already delivering a 58%+ return in Q3, the question arises: is this growing fear of missing out (FOMO) setting the stage for Ethereum’s strongest third quarter on record?

    Ethereum Dominance and ROI Near Historic Highs

    On the technical front, Ethereum dominance ($ETH.D) has risen over 25% this quarter, aligning with the gain in the $ETH/$BTC ratio. Ethereum’s Q3 return on investment (ROI) is nearing 60%, closing in on the Q3 2025 record of over 66%. Should $ETH surpass that threshold, it would mark the asset’s best third-quarter performance in history.

    The concurrent rise in both dominance and absolute returns indicates that Ethereum’s ascent is not solely a byproduct of Bitcoin’s weakness. Instead, it reflects a genuine increase in investor appetite for the altcoin itself.

    Source: Coinglass

    ETF Inflows Validate Underlying Demand

    Recent exchange-traded fund (ETF) inflows corroborate the thesis of strong fundamental demand for Ethereum. While rotational flows from Bitcoin account for a portion of the quarter’s gains, the sustained institutional interest suggests a structural shift. Bitcoin’s relative stagnation may continue to provide Ethereum with room to attract fresh capital as investors chase higher beta returns.

    Key Takeaways

    • $ETH.D and $ETH/$BTC are both up over 25% in Q3.
    • Strong ETF demand shows growing interest in Ethereum.
  • Ethereum Liquidity Surges: Can ETH Steal Bitcoin’s Spotlight in Q4?

    Ethereum Liquidity Surges: Can ETH Steal Bitcoin’s Spotlight in Q4?

    Bitcoin’s August Surge Masks Weak Spot Demand and Liquidity Concerns

    Bitcoin closed August over 25% higher compared to the previous month, recording its best monthly performance since November 2024. However, the stablecoin market cap only managed to grow by 0.5% and failed to hold above $310 billion, which suggests that the inflow of liquidity is happening at a slow pace.

    On-Chain Metrics Reveal Lack of Spot Buying Pressure

    The same pattern is evident on the on-chain level. As the chart below shows, Bitcoin rose by around 45% from its recent low, but there is a lack of spot demand, as evidenced by the 90-day CVD being neutral. Liquidity across exchanges is also weak, as seen in Binance’s stablecoin reserves, which dropped nearly $7 billion from their cycle peak above $50 billion.

    Source: CryptoQuant

    Technical Bullishness Contrasts with Speculative Positioning Risks

    So, while Bitcoin’s technical structure has turned bullish, liquidity and spot demand remain muted. At the same time, rising Open Interest suggests growing speculative positioning, which makes $BTC vulnerable to a long squeeze if $80k resolves as the ceiling, especially with the FOMC meeting approaching.

    Ethereum’s Liquidity Divergence Signals Potential Shift from Bitcoin

    However, the bigger signal may be the growing liquidity divergence between Bitcoin and Ethereum. If capital continues to rotate towards $ETH and away from $BTC, this could set up the conditions for altcoins to outperform Bitcoin in the coming Q4, particularly as macro volatility drives risk appetite shifts. If this trend holds, it could provide the first confirmation that Bitcoin’s [$BTC] current rally is a bull trap.

    Ethereum Derives Liquidity from Both Speculation and On-Chain Utility

    Unlike Bitcoin, Ethereum is capable of deriving liquidity from both speculative demand and on-chain utility. The promise of Ethereum as a platform for stablecoins, tokenized assets, and DeFi creates additional demand for the asset.

    For instance, the total stablecoin supply in the Euro minted on the Ethereum blockchain increased by 347.3% over the past three years to reach $848.1 million. Ethereum hosts 69.4% of the total, surpassing all other blockchains combined by more than double. Similarly, stablecoins on the Robinhood Chain exceeded the $1 billion mark, illustrating the strong demand for on-chain liquidity.

    Record ETH Staking Underscores Capital Commitment to Ethereum

    In addition, as depicted in the chart below, staking $ETH is yet another example of increased demand for Ethereum. According to the chart, the amount of $ETH staked saw yet another ATH. Specifically, 42.95 million $ETH or $105.96 billion were deposited across all validators, representing 35.21% of $ETH’s supply.

    Source: ValidatorQueue

    Capital Flows Into Ethereum Ecosystem Drive ETH/BTC Ratio Higher

    Taken together, improving stablecoin liquidity and record $ETH staking suggest that capital is flowing into the Ethereum ecosystem. Not only are traders fueling demand, but holders are also locking up significant amounts on-chain and committing them to the network.

    This helps explain why the $ETH/$BTC ratio keeps trending higher. While Bitcoin is seeing rising bull trap fears and weak spot buy, Ethereum has seen increased liquidity and capital inflows. If the divergence persists, then $ETH/$BTC ratio could very well have the momentum to break above 0.031.

    Altcoin Outperformance Potential in Q4 Hinges on Sustained Liquidity Rotation

    More importantly, a sustained rotation of liquidity into Ethereum [$ETH] can spill over into the broader altcoin market. And if Bitcoin continues to lose liquidity share to $ETH, it could be a major catalyst for altcoins to outperform $BTC in the fourth quarter.

    Final Summary

    • Ethereum is seeing more liquidity, with stablecoin growth and record $ETH staking showing stronger demand.
    • If this trend continues, $ETH could keep gaining on $BTC and help drive an altcoin rally in Q4.
  • Tom Lee Outlines $6,000 Ethereum Scenario, Cites 4 Catalysts

    Tom Lee Outlines $6,000 Ethereum Scenario, Cites 4 Catalysts

    Bitcoin dipped below the $80,000 threshold as markets brace for upcoming U.S. inflation data and rising expectations of a Federal Reserve interest rate hike. While altcoins displayed mixed performance, Ethereum consolidated around the $2,480 level.

    BitMine President Tom Lee Identifies Four Catalysts for Ethereum Upside

    In a recent interview, BitMine President Tom Lee outlined a bullish case for Ethereum, suggesting the asset could climb to approximately $6,000. Lee cited four key catalysts that he believes could drive significant appreciation in the $ETH price.

    First Catalyst: The CLARITY Act

    Lee highlighted the CLARITY Act as the most critical development, describing it as the most important legislation expected to define the regulatory framework for cryptocurrencies in the United States. He projects that the bill’s passage in September could substantially increase Wall Street’s engagement with the crypto market. According to Lee, removing regulatory uncertainty would clear the path for major financial institutions to expand their operations in the digital asset space.

    Second Catalyst: Sidelined Capital Re-entering the Market

    The second catalyst involves the unwinding of idle capital and short positions that have remained on the sidelines. Lee noted that some investors exited the crypto market following the previous downturn. A sustained price recovery could compel these participants to re-enter. He specifically pointed to investors anticipating a potential cycle bottom in October based on the traditional four-year crypto cycle; if the market maintains strength, these investors may be forced to cover positions earlier than planned, adding upward pressure on prices.

    Third Catalyst: Asian Capital Rotation

    Lee identified a rotation of Asian capital toward crypto assets as the third driver. He observed that investors in markets such as South Korea, who had previously concentrated on local equities, are refocusing on cryptocurrencies. Lee believes this inflow could boost demand across the market, with Ethereum standing as a primary beneficiary.

    Fourth Catalyst: Institutional FOMO into Quarter-End

    The final catalyst centers on corporate FOMO (fear of missing out). Lee argued that if Ethereum sustains its momentum through the end of the third quarter in September, underperforming fund managers may pivot into $ETH and other digital assets to salvage fourth-quarter returns. This institutional chasing of performance could trigger a notable price rally.

    The $6,000 Price Target Scenario

    Lee’s $6,000 price target is derived from a valuation model based on the ETH/BTC trading pair. He calculates that if the ratio rises from current levels to 0.04 while Bitcoin reaches $150,000, Ethereum would trade near $6,000. Lee characterized this scenario as conservative, noting that the ETH/BTC ratio peaked near 0.08 during the 2021 bull market. He maintains that the four catalysts outlined above provide fundamental support for such a move.

    Disclaimer: This content is for informational purposes only and does not constitute investment advice.

  • Bitmine Chairman Tom Lee Reveals New Bitcoin and Ethereum Price Predictions

    Bitmine Chairman Tom Lee Reveals New Bitcoin and Ethereum Price Predictions

    Bitmine Chairman Tom Lee says Ethereum is undervalued relative to Bitcoin and could climb to $6,000 if Bitcoin breaks above $150,000. He believes Ethereum has substantial upside potential in the months ahead.

    Regulation and institutional demand could support Ethereum

    Lee identified several factors that could drive Ethereum’s value higher through the remainder of the year. The most significant is the potential passage of the CLARITY Act, a comprehensive US regulatory framework for the cryptocurrency market.

    According to Lee, clearer regulations could encourage institutional investors to enter the crypto market. The return of pent-up capital to digital assets could also provide additional support for cryptocurrency prices.

    Other potential catalysts include increased capital inflows from Asia and “compensatory purchases” of crypto assets by global institutions seeking to improve their quarterly performance.

    Ethereum could regain ground against Bitcoin

    Lee said the $ETH/BTC ratio, which measures Ethereum’s performance against Bitcoin, could retest its previous level of 0.08. Even in a more cautious scenario, he believes a recovery to 0.04 would give Ethereum significant upside potential.

    Although Lee acknowledges that Bitcoin retains long-term growth potential, he expects asset tokenization and AI-powered finance to be among the key forces shaping the cryptocurrency market over the next five years.

    Lee’s outlook supports the possibility that the performance gap between Bitcoin and Ethereum could narrow. Market participants are expected to closely monitor how institutional capital flows affect Ethereum in the coming period.

    If Bitcoin reaches $150,000, Ethereum’s move to $6,000 would represent a significant gain from current price levels. However, that scenario depends on Bitcoin surpassing the $150,000 threshold and Ethereum attracting the anticipated capital inflows.

    This is not investment advice.

  • Ethereum pectra-upgrade comes on May 7

    Ethereum pectra-upgrade comes on May 7



    • PECTRA-UPGRADE von Ethereum is For the 7thMore gapwhereby the EOF proposal discussed is excluded.
    • Der ETH/BTC-Chart signaled potentially high volatility and pulls the Attention of the dealers.

    The Ethereum-Zu-Bitcoin ratio (ETH/BTC) is currently being critically examined because a technical setup was observedthat indicates an upcoming volatility increase. The trading couple is currently on Binanceand it is obvious that the couple’s Bollinger ligaments have reached the slightest width since June last year.

    This Squeeze phase, which some referred to by some as an early sign of an outbreak, indicates that in Future big Course fluctuations are possible.

    The Bollinger ligaments, one of the most frequently used technical analysis instruments, wise an extreme notch on. This is a sign of one Lower market volatility and a recovery of the courses at the average.

    ETH/BTC's daily chart. (TradingView/CoinDesk)

    Such patterns usually occur if a asset shortly before one significant movement standsbecause he gains swing. The current signal of the indicator has prompted people to advise whether Ethereum In the near future, the upper hand will probably win from Bitcoin.

    The dealers observe The market situation with a view to the decisive outbreak. Historically means As a rule, there is a large price rash when the Bollinger tapes contract significantly.

    For some from them Could this be an opportunity for short -term trading, while estimating whether ETH will win the upper hand or fall back on BTC.

    Ethereum Pectra-Upgrade am 7. Mai

    At the same time Pectra, the next big upgrade From Ethereumconfirmed for May 7th. Tomasz Kajetan StańczakaktwitterteThe fact that the progress of the PECTRA upgrade is based on plan and that the EVM Object Format (EOF) will not use a technical standard that has been controversial recently.

    The update focuses primarily on the performance of the validator and the To improve the scalability of the blockchain and at the same time the complexity to To limit minimum.

    The ETH developers have EOF considered too problematic for the recording of this technology in the protocol. Es Could for further delays When implementing the Roadmap have led although at the beginning it should provide better smart contract efficiency.

    Fusaka time plan and development priorities

    Die next Important development, Fusaka, is provisionally intended for the third or fourth quarter of 2025. The original plan for the DEV was to start EOF together with Fusaka, but they decided this plan moving .

    During the ACDT 34 examined ETH developer Like Tim Beilko and Stanczakthat the integration of EOF in the process would only lead to delays, especially during Peerdas, a completely independent critically Development for the scalability of Ethereum, should be completed.

    As indicated by Beiko, the his Explanation on Github posted, he was not for the premature assumption of EOF; Deleting the element was the result of a technical matter that was unclear And the unexplained effects of this support.

    A number of developers the way did not like how The evaluation process was carried outand Beiko admitted that no adequate communication and planning took place.

    Ethereum now tends to stability rather than innovation. Fusaka continues without EOF and the preparation will be Before the upgrade Glamsterdam revised become.