Key Takeaways
The ETH/BTC ratio remains below 0.05, signaling relative weakness against Bitcoin despite ETH’s price rally.
ETH reached an all-time high of $4,957 in August, but the ETH/BTC ratio has slid to 0.039.
Historically, ETH has only outperformed BTC 15% of the time since 2015.
Analysts say ETH may consolidate before attempting another run toward the $5,000 milestone.
ETH/BTC Struggles to Break Higher
The Ether-Bitcoin (ETH/BTC) ratio, which tracks Ether’s price relative to Bitcoin, has failed to reclaim the 0.05 level, even as ETH adoption by institutions accelerates.
According to CoinGecko, the ratio peaked at 0.14 in June 2017 but has remained under 0.05 since July 2024. It now sits at 0.039, down from 0.04 in August, showing Ether’s continued lag versus Bitcoin.
The ratio hit a five-year low of 0.02 in March, amid global macro uncertainty and trade tensions, before partially recovering in the summer rally.
Ether Price Rally Meets Resistance
Despite weakness in the ETH/BTC ratio, Ether has surged 155% since July, driven by institutional adoption, ETF inflows, and treasury allocations. ETH hit an all-time high of $4,957 on Aug. 24, before pulling back 6.7% to trade near $4,700.
“ETH may consolidate for a bit, given the large run-up in such a short timeframe,” Jake Kennis of Nansen told Cointelegraph, adding that new highs could take weeks or months.
Ethereum’s Long-Term Battle With Bitcoin
Market data shows ETH has only outperformed BTC in 15% of trading periods since its 2015 launch, with the bulk of its gains coming during the 2015–2017 ICO boom.
Since 2020, Bitcoin has generally held the upper hand, even as Ethereum’s ecosystem expanded with DeFi, NFTs, and institutional entry.
Still, with Ethereum ETFs gaining traction and financial institutions increasing exposure, analysts expect the ETH/BTC ratio to remain a key indicator of investor preference between the two largest digital assets, according to Cointelegraph.
