Ethereum sees its lowest valuation against Bitcoin since May 2020, with the ETH/BTC exchange rate dropping by 8.7% over the last 48 hours.
ETH/BTC Exchange Rate Dynamics
Ethereum (ETH) has reached its lowest level against Bitcoin (BTC) since May 2020, with the exchange rate falling to 0.023278. This represented an 8.7% drop over a span of 48 hours. Data from TradingView indicates that Ethereum's total value locked (TVL), or the sum of assets held in its decentralized finance protocols, declined from $74 billion in December 2024 to $45.8 billion. The general ETH value has also dropped 42.9% since December 2024, trading near $1,945.
Ethereum Market and Liquidity
Liquidations across crypto markets have exceeded $900 million in 24 hours, with $202 million accounted for by ETH long positions. Ethereum’s price decline accelerated after it lost the $2,000 support level. There is also a noted slowdown in stablecoin inflows into Ethereum-based protocols and a decrease in decentralized exchange volumes.
Financial Strategies of the Ethereum Foundation
The Ethereum Foundation, which manages ETH's development, faced speculation after an unidentified wallet deposited 30,098 ETH into a MakerDAO vault. The foundation managed expenses by selling 4,266 ETH in 2024, generating $12.21 million at an average price of $2,795 per ETH. In early 2025, the foundation allocated 50,000 ETH to Aave to generate yield.
Market participants are closely monitoring whether ETH’s price will stabilize or test new support levels, potentially impacting the foundation's financial strategies.
