Crypto: Could Ethereum Reverse the Trend and Overtake Bitcoin?

As the crypto market vibrates to the rhythm of Bitcoin’s spectacular increases, a major player is preparing to play its trump card: Ethereum. While Bitcoin is currently making history with new highs, Ethereum remains on the sidelines, which fuels debates about its ability to surpass its rival. Technical signals and investment movements are now capturing the attention of experts, with the idea of a trend reversal.

Signals of an Imminent Change for Ethereum

Despite a market marked by the euphoria surrounding Bitcoin, Ethereum seems quietly poised for a power surge. Currently valued at $3,138, still 36 % below its peak in 2021, Ethereum intrigues. The next market phase could be the one where Ethereum surpasses Bitcoin for some observers. This scenario would rely on historical elements. Indeed, each market cycle sees Ethereum briefly dominate Bitcoin, a situation still expected in the current cycle.

The massive flows into Ethereum spot ETFs reinforce this hypothesis. In a few weeks, these instruments have accumulated $147 million, reflecting a clear change in investor strategy: the transition from distribution to accumulation. These data are supported by significant purchases of ETH by whales, exceeding $1.4 billion, and underline a resurgence of institutional confidence.

Untapped Potential and Key Resistances

If these figures show growing interest, technical indicators provide an additional perspective. The MVRV ratio, which assesses the current valuation against its realized value, remains a closely scrutinized signal. Observers note that the crossing of this indicator with its 180-day moving average often heralds a marked upward phase for Ethereum. Although this crossing is not yet confirmed, the recent rise of the ETH crypto, from $2,400 to over $3,000, shows building momentum.

Another significant aspect is the decline in the leverage ratio in the derivatives markets, which drops from 0.43 to 0.40. This decrease may indicate a retreat from excessive speculation, paving the way for more stable and sustainable growth. However, the current consolidation, with a 30 % drop in open interest, highlights a market waiting for a major catalyst.

The next steps will be decisive for Ethereum, which still needs to overcome key resistances at $4,000 and $6,000. If these thresholds are surpassed, an optimistic scenario could propel its value to $10,000, according to projections. However, these prospects remain conditioned on an improvement in the macroeconomic context and increased investor confidence.

Beyond the figures, this potential power surge of Ethereum could reshuffle the cards in the crypto ecosystem. While Bitcoin has consolidated its status as a store of value, Ethereum could establish itself as an essential platform for financial innovations. With institutional players already well engaged, the duel between these two giants is just beginning.