Ether traders are preparing for heightened price fluctuations as the ETH/BTC ratio — the key trading pair within the cryptocurrency sector — has recently dropped to levels not seen in three years. Currently, the ratio stands at approximately 0.035, the lowest since March 2021, according to TradingView data.
Market analysts are expressing concerns that a rebound for this trading pair does not appear imminent. One analyst has remarked that recent trends indicate a continuation of the downward trajectory for ETH/BTC, advising traders to focus on the ongoing decline rather than external distractions, such as upcoming elections. Commentary from other market participants suggests that further drops in the ETH/BTC ratio may be expected.
Despite the current downturn, there are optimistic views rooted in historical data. The previous instance of the pair reaching such low levels in March 2021 was followed by a rapid surge to a ratio of 0.077 by May 2021, coinciding with a significant rise in Ether’s price to approximately $3,928. This history has sparked some speculation that a rebound could materialize once again, with expectations of a possible major upward movement.
Despite this potential for recovery, the prevailing market sentiment remains cautious. With the U.S. presidential election ongoing, many traders predict a corresponding surge in Bitcoin ’s price, which could further depress the ETH/BTC ratio if Ether does not match this upward momentum. For the ETH/BTC ratio to rise, Ether must begin to outperform Bitcoin .
Furthermore, there are indications of enhanced market activity, as recent data revealed a substantial influx of 82,000 ETH — valued at around $200.49 million — into derivative exchanges. This increase in net flow may signal upcoming volatility or a price correction as traders position themselves accordingly. Analysts are divided on the potential impact of the electoral results, with expectations of significant market movements, which could either indicate a bullish trend or foreshadow a deeper correction for Bitcoin .
