ETH/BTC Collapse Isn’t the Finish: Analyst Sees Silent Rebuild

Ethereum’s ETH/BTC ratio has plunged 77% since December 2021, turning the as soon as beloved altcoin right into a punching bag for crypto merchants.

Nonetheless, beneath the sliding metrics and bearish sentiment, analysts argue that developments being carried out on the community may set the stage for a long-term rebound.

The ETH/BTC Massacre

Based on an April 11 report from Santiment analyst Brian Q, since its peak in late 2021, the ETH/BTC ratio has cratered by 77%, leaving long-term holders annoyed. Within the final three years, anybody who purchased the asset close to its all-time excessive (ATH) of $4,800 hasn’t had a worthwhile exit.

Moreover, ETH has simply skilled its worst Q1 in eight years, dropping 45% within the first three months of 2025. The theme has carried on into April, with the token down practically 19% up to now fortnight. Moreover, over the past seven days, the asset severely underperformed, dropping 14.6%, whereas international crypto markets fell simply 4.1%.

The ache is palpable on social media, with Santiment quoting merchants jokingly calling Ethereum “the brand new shitcoin,” whereas others pointed to smaller altcoins which have registered higher returns.

Critics have cited a number of causes for the community’s poor efficiency, together with competitors from Layer-2 options like Arbitrum and Optimism, which have diverted consideration and capital away from ETH, in addition to gradual updates, together with the just lately postponed Pectra improve. Moreover, post-Merge staking withdrawals have launched constant promote strain, weighing on ETH’s worth motion.

Comeback Begins with Tech, Not Hype

Nonetheless, Santiment believes that this market gloom belies the progress being made beneath Ethereum’s hood. The analytics agency factors out that the community has quietly accomplished among the most complicated upgrades in blockchain historical past, arguably laying the inspiration for its subsequent act.

Since hitting its ATH, Ethereum has utterly overhauled its consensus mechanism, unlocked staked ETH withdrawals, and is now deep into scaling with EIP-4844’s proto-danksharding.

Moreover, regardless of its worth stoop, Ethereum nonetheless dominates decentralized finance, boasts the vast majority of lively builders, and appears to be the platform of selection for rising functions resembling decentralized identification and social networks.

Furthermore, the blockchain’s co-founder, Vitalik Buterin, is already trying ahead. On April 11, the 31-year-old proposed a complete roadmap to enhance Ethereum’s consumer privateness, concentrating on each on-chain funds and anonymized app interactions.

In Brian Q’s opinion, these milestones haven’t simply decreased power utilization and fuel charges; they’ve reset the community’s technical basis for mainstream adoption.