The ETH/BTC ratio has hit a five-year low, with Ethereum's (ETH) price falling to around $1,400 amid a broader crypto market downturn. According to recent analyst data, Ethereum has only outperformed Bitcoin (BTC) in approximately 15% of all trading days since its launch nearly a decade ago.
On April 8, analyst James Check shared on X that since ETH began trading in mid-2015, it has underperformed Bitcoin 85% of the time. Check’s data highlights that ETH saw significant outperformance early in its history—from mid-2015 to mid-2017—and had two brief periods of relative strength in late 2019 and early 2020.
However, over the past five years, Bitcoin has consistently dominated Ethereum. The ETH/BTC ratio has been on a persistent decline, signaling that investor preference has strongly favored Bitcoin during this period.
ETH/BTC profitable days. Source: James Check
Data from TradingView shows that the ETH/BTC ratio dropped to a five-year low of 0.018 on April 9. The last time the ratio was this low was in December 2019, when ETH fell to $125 while Bitcoin was trading around $7,000.
Ethereum has now erased seven years of gains, falling an additional 10% in the past 24 hours to below $1,450—well below its 2018 cycle high. According to CoinGecko, ETH dipped to $1,400 during early trading on April 9. In comparison, Bitcoin fell 6% to $75,000 on the same day but remains 275% above its cycle high from seven years ago.
Concerns Over Ethereum Network Growth
Ethereum advocates have expressed concerns about the network’s growth, especially as Bitcoin reached new all-time highs earlier this year while Ethereum struggled to gain momentum.
"I love Ethereum. But it’s time to face reality: the number of active addresses on Ethereum has barely changed over the past four years," Web3 researcher Stacy Muur stated in an April 8 post on X.
Other researchers note, however, that much of the new user activity is occurring on Ethereum’s layer-2 scaling networks. Data from L2beat shows that the total value locked (TVL) on these networks has grown substantially over the past few years.
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Market Sentiment and Technical Outlook
Although most long-term ETH investors are currently at a loss, some technical indicators suggest the asset may be nearing oversold conditions. Analysts have observed fractal patterns similar to those seen in 2018 and 2022, which could indicate that a bottom is forming, potentially around the $1,000 mark.
Market participants are closely watching these levels, as historical support and on-chain metrics often provide clues about future price reversals.
Frequently Asked Questions
How does the ETH/BTC ratio work?
The ETH/BTC ratio measures the relative value of Ethereum to Bitcoin. A declining ratio means Ethereum is underperforming compared to Bitcoin, while a rising ratio indicates Ethereum is gaining strength.
Why has Ethereum underperformed Bitcoin recently?
Several factors contribute, including stronger institutional demand for Bitcoin, regulatory clarity favoring BTC in some regions, and slower-than-expected adoption of Ethereum’s network upgrades.
What are Ethereum layer-2 networks?
Layer-2 networks are built on top of Ethereum to improve scalability and reduce transaction costs. Examples include Arbitrum and Optimism, which host growing user activity and decentralized applications.
Is Ethereum still a good long-term investment?
Many analysts believe so, citing its strong developer community, ongoing upgrades, and role in decentralized finance. However, short-term volatility and competition from other blockchains remain challenges.
What does 'oversold' mean in crypto trading?
An oversold condition occurs when an asset’s price has fallen sharply and may be due for a rebound. Technical indicators like the RSI (Relative Strength Index) can help identify these levels.
How can investors track Ethereum metrics?
Various platforms provide real-time data on network activity, transaction volume, and holder behavior. These insights help investors make informed decisions based on utility and adoption trends.