Ratio between Ethereum, Bitcoin declines to lowest level in more than 3 years
Date
9/17/2024 7:42:08 AM
(MENAFN) On Sunday, the ratio between Ethereum and Bitcoin, the two leading CryptoCurrencies in the market, experienced a significant decline, reaching its lowest point in over three years. The ETH/BTC ratio fell by 2.8 percent, dipping below the 0.04 mark for the first time since April 2021. This drop reflects a notable shift in the relative strength and investor preference between these two digital assets.
As of Monday, the ratio had slightly recovered to 0.039570, marking a 1 percent daily gain. Despite this modest rebound, the overall trend indicates a weakening demand for Ethereum in comparison to Bitcoin. This shift suggests that investors are currently favoring Bitcoin, which continues to lead the cryptocurrency market in terms of value and market presence.
In addition to the ratio decline, spot Ethereum exchange-traded funds (ETFs) have been experiencing significant net outflows. On Thursday alone, over USD20 million in Ethereum ETFs were withdrawn, according to Farside Investors, a London-based firm specializing in global equities and cryptocurrency. This outflow trend underscores the reduced investor confidence or interest in Ethereum at this time.
Conversely, Bitcoin ETFs have seen substantial net inflows, with USD39 million on Thursday and USD263.2 million on Friday, as reported by Farside Investors. This influx into Bitcoin ETFs highlights a growing investor preference for Bitcoin. As of Monday, Bitcoin’s market dominance was reported at 56.6 percent, while Ethereum’s share was 13.6 percent, according to CoinMarketCap, further illustrating the relative shift in market dynamics between the two cryptocurrencies.
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