Analyst Says ETH/BTC ‘Breakdown Is Over’ Ether Retraces $3.8K
Ether's underperformance against Bitcoin may be coming to an end, with crypto analysts suggesting that Ether is approaching the important psychological price point of $4,000.
“I think the fall of ETH/BTC is over (or almost over) and should be higher in the next 6-12 months,” said Benjamin Cowen, founder of Cryptoverse, in a post on December 4.
The strength of Ether to Bitcoin in the next two months
When the ETH/BTC ratio — a measure of the relative strength of Ether (ETH) to Bitcoin (BTC) — reaches a low, many traders begin to speculate on the rise in Ether.
“My worst case scenario is 0.03 and I said ETH/BTC went to 0.03187,” said Cowen.
According to TradingView data, the ETH/BTC ratio is 0.03820 at the time of publication as Bitcoin has crossed the $100,000 mark. The ETH/BTC pair hit an all-time low of 0.00217 in December 2015.
He added, “Historically, ETH/BTC usually starts going up” in December or January.
The ETH/BTC ratio has increased by 9.14% in the last 30 days. Source: TradingView
Ether ended up with a 5.5% gain in the last 24 hours and fell slightly, touching the $3,900 price level. According to CoinMarketCap data, Ether is trading at $3,846 at the time of publication.
Meanwhile, Bitcoin posted a 5.5% gain over the same period, with its current price at $101,345.
Anonymous crypto trader DCInvestor told his 250,800X followers that “ETH is the mainline for a reason, and to remind people why.”
ETH $4,000 price ‘surprises no one'
Hunter Horsley, CEO of Bitwise Invest, believes that “no one will be surprised when ETH crosses $4,000.”
“There are many great L1s, but there is room for many more. Android, iOS and Windows all coexist and bring different transactions,” Horsley said in a Dec. 4 X post.
“The boom is growing, and ETH has a big pipeline,” Horsley added.
Related: Bitcoin Down at $94K? BTC Traders Rally After ‘Kimchi Premium' Blitz.
Meanwhile, anonymous crypto trader Mr. Spread believes that reaching the $4,000 price level will push Ether's price up by 25% and trigger a short squeeze.
“Once ETH breaks the $4,000 area, there's a high chance we'll see a god candle towards $5,000,” MisterSpread said in a post on X.
No ‘serious competition' for Ethereum in the short term.
“Shorts have been put in and continue to accumulate here, so look for liquidity to go above $4k,” Mr Spread added.
Alex Thorne, head of research at Galaxy Digital, recently told Cointelegraph magazine that he doesn't see any serious competition for Ethereum at this point.
“Ethereum is the world's most decentralized, valuable and mature general-purpose blockchain,” Thorne said.
“I don't see any other blockchain ecosystem, including Bitcoin and Solana, coming close to solving Ethereum as a mecca for decentralized applications.”
Magazine: Back 2025: Is Ethereum Ready to Meet Bitcoin and Solana?
This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision.
