Ether (ETH) has significantly fallen against Bitcoin (BTC), reaching levels not seen in nearly five years. This drop is driven by macroeconomic uncertainties and shifting investor preferences.
ETH/BTC Reaches 5-Year Low
Currently, 1 ETH is equivalent to just 0.02191 BTC—a level not seen since May 2020. At that time, Ethereum traded around $200 while Bitcoin was near $10,000. Today, ETH is priced around $1,800, whereas BTC is holding steady at approximately $82,000, underscoring ETH’s relative underperformance.
Ether Lags Post-Bitcoin Halving
The sharp drop in Ether is particularly notable in the 12 months following Bitcoin's halving, a period during which ETH has historically outperformed BTC. On April 20, 2024, Bitcoin’s block rewards were cut in half to 3.125 BTC per block, but this time Ether has significantly underperformed.
Ether Trails Behind Solana in 2025
Ether has also underperformed compared to other layer-1 assets. The SOLETH ratio, which measures the value of Solana relative to Ether, has risen by 24% year-to-date. Despite Solana’s 35% drop this year, it still outpaced Ethereum.
The current macroeconomic climate and changing investor preferences have contributed to Ether's decline relative to Bitcoin and other cryptocurrencies. This underscores the need for investors to closely monitor market changes.
