Why Is Ethereum Falling Behind Bitcoin? Experts Reveal Shocking Factors

April 28, 2025

  • The Ethereum-to-Bitcoin ratio has fallen to its lowest level in five years amid weak Ethereum performance.
  • Experts attribute the decline to increased competition from faster and cheaper blockchains challenging Ethereum’s dominance.
  • Bitcoin’s consistent strategic buying by institutional players has helped it outperform Ethereum significantly.

The current Ethereum-to-Bitcoin price level is the lowest it has been during the past five years, which worries the cryptocurrency investment community. Although Bitcoin reaches new price levels, Ethereum faces enduring difficulties in the market. Market experts have analyzed various factors that caused the ETH/BTC price decline, showing how Ethereum remains vulnerable in the evolving crypto industry structure.

Through two additional transactions, the same whale invested in Bitcoin and Ethereum by acquiring 30,000 ETH, which had a value of $54 million. Wintermute served as the OTC exchange through which the whale employed an independent transaction address for this purchase. The whale executed his purchases to show that Ethereum gained greater market speed.

Ethereum maintained a 9% weekly gain to approach its target market value of $1,800. The impressive market upswing encouraged long-term traders and investors to buy Ether since they thought its future outlook was positive. The growing number of Ethereum transactions created the conditions for continued positive market development.

The ETH market exhibits dependable growth in its network participant numbers. The activity between new users and existing platform users triggered the second-biggest cryptocurrency to expand its network user base. The whale made a staggering investment just as Ethereum displayed solid fundamentals and optimistic market predictions.

Bitcoin’s value increased due to a strategic acquisition and its position as an asset designed for wartime conditions caused by global instability. The price strength and resilience of Bitcoin have increased through continuous Bitcoin purchases made by institutional leaders, including Michael Saylor. The powerful, relentless purchasing trend led Bitcoin to surpass $100,000, while Ethereum remains behind.

Ethereum fails to present a key public figure who regularly buys cryptocurrency to sustain its market value. Ethereum needs dedicated institutional support for price stability because it loses momentum against Bitcoin in economic instability without substantial backing. The market performance of Bitcoin remains higher than that of Ethereum during all market situations.

The volatile market periods have strengthened investor trust in Bitcoin, which functions as a haven asset like gold. The recent peak in gold price has driven positive expectations about Bitcoin, which follows the same pattern of growth. Ethereum serves as an asset during peaceful periods but does not receive the same level of investment as Bitcoin during safety-related capital movements.

According to Ethereum expert Eric Wall, some believe the merger did not cause Ethereum’s market downturn. Wall says the swap from Proof-of-Work to Proof-of-Stake did not directly impact the ETH/BTC market decline. According to Wall, Ethereum has experienced a decline primarily because of market competition and changing market forces.

As per analyst Beanie, Ethereum’s merger degraded its economic model, weakening investor interest. The present Ethereum price trends indicate that the Merger did not lead to the deeper problems that affect the Ethereum platform. The network’s breakup into pieces and the failure to introduce dominant applications emerged as greater contributors to the market decline.

Ethereum’s recent 12% price growth fails to lift the ETH/BTC exchange ratio, which remains at very low historical levels. Current market conditions indicate Bitcoin will likely remain dominant over Ethereum, even though Ethereum experienced a wave of $17.5 billion in daily trading activity.