The ETH/BTC trading pair is approaching a multi-year descending trendline, attracting attention from traders and analysts. The resistance level around 0.039 BTC could serve as a turning point for altcoins.
Multi-Year Resistance at a Critical Level
ETH/BTC has been in a downtrending pattern since mid-2021, consistently facing resistance whenever attempts were made to regain momentum, keeping the ratio in a downtrend. Now the pair is moving closer to 0.03896 BTC and is testing this resistance.
Signals from Previous Market Cycles
Analyst Mikybull Crypto noted that the current setup mirrors conditions from August 2020. At that time, ETH/BTC broke resistance, leading to a broad altcoin season. This observation suggests that history may be on the verge of repeating if the breakout sustains.
Market Context and Price Movements
As of writing, Bitcoin trades at $117,761, recording a 0.92% weekly increase despite a -0.95% daily decline. Ethereum is trading at $4,462.80, showing a 6.92% rise over the past week, although it has decreased by 3.65% within 24 hours. This divergence reflects Ethereum’s recent strength compared to Bitcoin.
A confirmed breakout above the 0.039–0.04 BTC range could mark the end of a multi-year downtrend. Conversely, failure at this threshold may preserve Bitcoin dominance and delay market rotation.
