Key Points
Peter Schiff urged ETH investors to take profits as ETH approaches $4000 and shift to BTC. However, on-chain data indicates that the positive market shift for ETH is just beginning.
Famous gold investor Peter Schiff urged Ethereum [ETH] long-term holders to lock in profits and shift to Bitcoin [BTC].
Schiff stated that ETH is nearing its multi-month high of $4000, adding that
"Selling Ether and using the proceeds to buy Bitcoin is more cost-effective than holding Ether."
Source: X
Will Schiff's local top for ETH be validated?
From a technical perspective, Schiff's statement is correct, as $4000 has always been a key resistance level for ETH in this cycle.
It marks local peaks at the beginning and end of 2024, and if this trend continues, his concerns about another local peak may be validated.
Source: ETH/BTC, TradingView
However, unlike the peak in 2024, some analysts believe that 2025 has different narratives and catalysts that could push ETH past the $4000 barrier.
The anticipated growth of stablecoins and tokenization has prompted several publicly listed companies to join the ETH funding wave.
Now, SharpLink Gaming and BitMine Immersion Technologies hold more ETH than the Ethereum Foundation and still plan to buy more.
In fact, even on-chain data has reinforced the aforementioned positive market shift for the first time, especially from a retail perspective, since prices began to rebound in the second quarter.
Glassnode pointed out that since June, the number of first-time ETH buyers has surged by 16%. This analytics firm described this update as 'the first sign of a reversal in $ETH buying behavior trends.'
Source: Glassnode
However, Schiff also downplayed the ETH rebound occurring in the second quarter of 2025, calling it a 'bear market bounce for BTC.'
I personally wouldn't buy, but I believe Ether is in a bear market relative to Bitcoin and has just undergone a bear market bounce. So, if you want to profit in the cryptocurrency space, selling Ether to buy Bitcoin makes sense.
Although the ETH/BTC ratio, which tracks the price performance of ETH relative to BTC, fell to a five-year low in the second quarter, the rebound of this metric supports the shift in ETH's market structure.
In fact, cryptocurrency analyst Benjamin Cowen refuted Schiff's views, stating that the decline in the ETH/BTC ratio has already 'ended'.
"You spent four years saying that ETH/BTC would decline, and now, only after the decline has ended, do you finally say this."
Source: X
Additionally, ETF inflows last reached $2.12 billion, bringing the year-to-date (YTD) inflow to $6.1 billion, surpassing the overall institutional demand for 2024.
As of the time of writing, the ETH price has slightly decreased to $37,000, but options traders are betting that the price could reach $43,000 by July 25.
