ETHBTC Ratio Nears Death Cross: What It Means for Ethereum and Bitcoin

The Bearish Trend in the ETH/BTC Ratio

In the latest ETHBTC News, the weekly ETH/BTC ratio is showing a strong indication of a bearish trend, with the ETHBTC ratio on the verge of a death cross. Retail investors are questioning the meaning behind this trend and exploring Ether’s underperformance compared to Bitcoin.

It’s that time of the cycle when we all panic over crypto’s technical analysis boogeyman: the death cross. A death cross occurs when the short-term moving average plunges below the long-term one, hinting at a shift from clear skies to potential bear territory. Recently, the weekly ETH/BTC ratio indicated a bearish trend close to flashing a death cross, suggesting prolonged underperformance of altcoins compared to Bitcoin.

Ethereum vs. Bitcoin: The Dance of ETHBTC Dominance

Since 2017, the crypto markets have ebbed between Bitcoin’s command and altcoins taking the lead. A key sign of the altcoin ecosystem has been the ETH/BTC ratio. This year, however, it’s taken a -10% nosedive to 0.049, signaling a change in the air. The short-term price movements for Ethereum and select altcoins have been so bad over the last 50 days that the average from the last 200 days is better.

The Bottom Line: What Does ETH/BTC Ratio Mean Ahead of Halving?

Ethereum often follows Bitcoin into death cross territory but rarely goes at it alone. This could signal a shift in the altcoin markets, as markets weigh more heavily into Bitcoin ahead of the April 20 Halving event. A short-time frame death cross doesn’t mean much if you hold Ethereum or other altcoins for the long term – especially at the beginning of an emerging bull run. These indicators affect traders more than investors, where leverage investors get rekt on both sides amid big volatility.

Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.