Ethereum Hits Four-Year Low Against Bitcoin, Market Dominance Drops 50%
1min read Ethereum (ETH) has experienced a significant decline, reaching a four-year low against Bitcoin (BTC). This downturn has further weakened investor confidence in the second-largest cryptocurrency by market capitalization. The last time ETH was this weak against BTC was in December 2020.
Ethereum's performance against Bitcoin has been consistently poor over the past four months. The ETH/BTC trading pair, also known as the ETH/BTC ratio, dropped to 0.02284, marking a fresh multi-year low. This downward trend is evident in the monthly chart, which shows ETH's persistent underperformance against BTC.
Adding to ETH’s struggles is its declining market dominance. At the time of writing, the smart contract token’s market dominance stands at 8.6%. For context, ETH’s market dominance was hovering slightly above 18% in March 2024. This decline in market dominance reflects the growing dominance of Bitcoin in the cryptocurrency market.
Historical ratios further illustrate ETH’s underperformance. In 2017, one BTC could buy approximately six ETH. In 2025, one BTC now buys as much as 42 ETH. This stark contrast highlights the significant shift in the value proposition of ETH relative to BTC.
Data from crypto exchange-traded funds (ETF) tracker reveals that Ethereum ETFs are seeing a sharp decline in interest, likely driven by ETH’s sluggish price performance over the past two to three years. The total net asset value in Ethereum ETFs has plunged from $14.28 billion on December 15, to $6.65 billion as of March 9. In that same period, ETH’s price has more than halved, dropping from $4,043 to just above $1,800 at the time of writing.
As ETH struggles to reclaim the critical $2,000 price level, seasoned crypto analyst has identified key resistance zones. In a post, the analyst noted that ETH faces heavy resistance between $2,250 and $2,610, where over 12 million investors purchased more than 65 million ETH.
Another indicator of waning investor confidence is the declining proportion of staked ETH in the network. A recent report highlighted that ETH staking has dropped sharply from its November 2024 peak. Moreover, price analysis based on MVRV Pricing Bands suggests that if ETH fails to break above $2,060, it could slide further, potentially reaching as low as $1,440. Ethereum whales – wallets holding more than 10,000 ETH – also appear to be losing confidence, with some large holders offloading their assets.
However, on a brighter note, excessive bearish sentiment around ETH could spark a short squeeze, potentially propelling the cryptocurrency toward $3,000. At press time, ETH trades at $1,884, down 1.7% in the past 24 hours.
