Ethereum Analysis: ETH's Struggle Below $2,000 Amid Falling ETH/BTC Ratio
Price Drops to 2023 Levels as ETH/BTC Ratio Hits 4-Year Low
ETH has faced a significant downturn, trading currently at $2,089, marking a drop reminiscent of December 2023 levels. Following intensified sell-offs, the price has breached important support levels and is now under severe bearish pressure. The ETH/BTC ratio has fallen to 0.02, indicating a stark underperformance against Bitcoin.
ETH/BTC Ratio Explained
- The ETH/BTC pair reflects the relative pricing between Ethereum and Bitcoin.
- When the ratio decreases, it signifies that ETH is lagging in performance compared to BTC.
Additional factors contributing to this downturn include an increase in ETH's circulating supply driven by a lower burn rate, with over 66,748.91 ETH introduced to the market recently, amounting to around $140 million.
Will ETH Bears Push Price Below $2,000?
As ETH trades below its long-term descending channel, the selling momentum could accelerate, risking further dips potentially to $1,922. If a resurgence in buyer demand occurs, there may remain hope for a rally towards $2,223.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.