Ethereum (ETH) continues to showcase impressive price performances in comparison to Bitcoin (BTC) and has recently reached a significant milestone. This development is believed to potentially initiate a process for alternative cryptocurrencies. Ethereum has outperformed BTC since mid-May, largely due to rumors surrounding the approval of spot Ethereum ETFs in the United States.
Ethereum Comments
Following the announcement of the approval of the Ethereum Spot ETF, there was a noticeable surge in Ethereum’s price. Today, the ETH/BTC pair indicates a level of 0.056, which is seen as a significant increase for Ethereum. Stay updated with the latest technology news on NEWSLINKER.
On the other hand, Bitcoin’s price has already established a strong support level at $67,000, but there are discussions in the market about a potential drop to $65,000. Meanwhile, Ethereum continues to trade near the $3,800 level due to increased market activity.
When analyzing the period after May 15, it can be observed that ETH experienced a 30% increase, compared to BTC’s 9% rise. The resulting price performance also highlights the ETH/BTC ratio, which reached $0.05854 on May 23, the highest level in two weeks, signaling a 31% increase.
In an analysis shared on X, analyst Moustache pointed out that the support trend line, which has been revisited multiple times over the years in the ETH/BTC ratio, has once again come into play. Historical analysis shows that ETH prices have risen from this line, leading to increases in altcoin prices.
ETF and Ethereum’s Future
The ETH/BTC ratio indicates how Ethereum performs relative to Bitcoin. Market analysts closely monitor this ratio due to the comparison of the two leading cryptocurrencies in the market.
Despite a strong outlook for Bitcoin in the past two years, the monthly chart of the ETH/BTC ratio continues to move within a downward channel, suggesting an upward trend for Ethereum.
Renowned market analyst Michaël van de Poppe made significant statements regarding this. He highlighted the upward trend in the relative strength index (RSI) of the ETH/BTC weekly chart analysis, indicating a reversal in the trend. He also noted that if the mentioned ratio remains above 0.051, the upward trend will continue.
On the other hand, data provided by Santiment indicates an increase in network activity on the Ethereum platform. According to data from CryptoQuant, the number of unique smart contracts on Ethereum increased from 37,870 on May 20 to 38,066 on May 31, indicating growing interest.
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Disclaimer: The information presented in this article should not be considered as investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should conduct their own research.
