Bitcoin’s dominance in the crypto market remains unquestioned. As of early May 2025, $BTC BTC is trading near the psychological resistance zone that previously marked its ATH. A successful breakout beyond this threshold could signal the start of a euphoric bull phase—driven by increased institutional interest, growing macroeconomic uncertainty, and the recent halving in April.
Such a breakout often shifts investor sentiment toward altcoins, especially once BTC stabilizes or consolidates at higher levels. This is a typical pattern observed in previous bull cycles—Bitcoin runs first, then profits rotate into Ethereum and other alts.
Ethereum’s Trajectory: Reclaiming $3,500–$4,000
Ethereum has historically followed Bitcoin’s lead, though with a slight lag. As Bitcoin flirts with new highs, Ethereum is showing signs of accumulation. Several key indicators support the thesis of $ETH ETH climbing back to the $3,500–$4,000 range:
On-chain metrics show increased activity on Ethereum Layer 2 networks, indicating growing user adoption.
ETH/BTC ratio is showing a reversal, suggesting capital rotation from BTC to ETH may soon begin.
Staking confidence remains strong, with over 30 million $ETH ETH now locked in Ethereum 2.0.
