Key Takeaways
- ETH/BTC ratio has fallen to 0.02281, a five-year low.
- Traders suggest rotating into stronger altcoins for potential gains.
- Bitcoin dominance remains at 62.15%, signaling continued strength.
Ethereum’s price relative to Bitcoin has hit a five-year low, with the ETH/BTC ratio sitting at 0.02281, according to TradingView data.
This decline has led some traders to speculate that a shift into alternative assets could yield better returns.
Traders’ perspectives
Economist and trader Alex Kruger suggested on March 12 that investors holding ETH may want to rotate into stronger altcoins, arguing that if the market rebounds, these assets could outperform before rotating back into Bitcoin.
Historical context
Historically, a bottoming ETH/BTC ratio has signaled the start of an altcoin season.
On Feb. 14, Into The Cryptoverse founder Benjamin Cowen stated that an altcoin rally depends on Ethereum gaining strength relative to Bitcoin.
Current market conditions
However, CoinMarketCap’s Altcoin Season Index currently sits at 13 out of 100, favoring Bitcoin dominance.
Pseudonymous trader Hansolar noted that altcoin season lasted just 16 days in 2024 and warned that Bitcoin could continue to dominate throughout 2025.
Bitcoin dominance
At the time of publication, Bitcoin dominance stands at 62.15%, up from its November 2021 low of 42%, when Ethereum hit its all-time high of $4,800.
With Bitcoin trading at $83,667 and Ethereum below $2,000, traders remain split on whether a broader altcoin rally is imminent.
