Ethereum’s ETH/BTC Ratio Hits 5-Year Low: Can ETH Stage a Comeback?

The ETH/BTC ratio has hit its lowest point in 5 years, and Ethereum is under pressure. While Bitcoin just hit $100,000, Ethereum is stuck below $2,000 and even dropped to $1,400 at its worst. This divergence has pulled the ETH/BTC ratio down.

A big part of the problem is competition. Newer blockchains with faster speeds and lower fees are eating into Ethereum’s smart contract space. Without an edge in efficiency or cost, Ethereum is finding it harder to hold its leadership position—adding to the ETH/BTC decline.

Ethereum’s Buyer Gap and Changing Macro Climate

One key difference between Bitcoin and Ethereum is the lack of a heavyweight backer. Bitcoin has had consistent backers like Michael Saylor who boosted BTC’s legitimacy and demand. Ethereum has no such figurehead, making it more vulnerable to weaker buying momentum.

Adding to the challenge, the global macro environment now favors Bitcoin over Ethereum. Bitcoin and gold are seen as “wartime assets”—a hedge against uncertainty—while Ethereum is viewed as a “peacetime asset” for calmer markets. With global tensions high, investors are naturally going to Bitcoin and gold and sidelining ETH for now.

Ethereum Technical Setup: Short Term Rebound

Despite all this, Ethereum is showing some technical signs. ETH/USD is at $1,811 after bouncing off critical support at $1,783 and reclaiming its 50-period EMA on the 2-hour chart. This trendline defense means buyers are stepping in at support and looking to push prices higher.

For newbies, this is called a trendline defense—where buyers step in at rising support to push prices higher.

Trade Setup to Watch:

• Buy Breakout: Above $1,857

• Upside Targets: $1,908 and $1,950

• Support to Watch: $1,783 and $1,757

• Stop-Loss: Below $1,757

Be patient—wait for a clean breakout above $1,857 before entering, as consolidation around resistance often causes fakeouts.