Friday, January 21

Ethereum takes advantage of the fall of bitcoin, it was not worth so much for 4 years

Key facts:
  • ETH equals about 0.085 BTC for the first time since May 2018.

  • The value of ETH against BTC is still far from its all-time high.

Ethereum’s cryptocurrency, ether (ETH) has reached a new peak in value relative to bitcoin (BTC), the undisputed market leader. Since the first half of the year 2018, ETH did not have as high an equivalence in BTC as it does now after the fall of the latter in the market.

CoinMarketCap data shows that ETH has a value equivalent to about 0.085 BTC. The last time something like this happened was in May 2018, after bitcoin fell after setting what until then was its historical maximum price in dollars, close to USD 20,000.

Despite the current moment, ETH remains well below another previous peak in BTC– More than 0.1 BTC for every ETH at the beginning of the same year. The all-time high for the network’s native cryptocurrency where hundreds of tokens run is even further away. In June 2017, its value touched 0.15 bitcoins, almost double the value it has right now with respect to the world’s first cryptocurrency.

Since May 2018, ETH was not that valuable compared to BTC. Source: CoinMarketCap.

The rise of ETH with respect to BTC has occurred in recent days, thanks to the fact that the main currency of the market has fallen about 17% in a week. Meanwhile, the Ethereum coin has fallen to a lesser extent in the market (6%), making it gain ground.

Right now, bitcoin remains below $ 50,000 per unit, at almost 30% of its historical maximum price (ATH). Ether, meanwhile, is trading on exchanges above $ 4,100 and is around 14% of its own ATH, close to $ 4,900 per coin, according to CoinGecko logs.

Market in red

If we review the figures of the cryptocurrency market, we only seem to find ourselves in the red. But in the top 20 there are two currencies that are right now swimming against the current: MATIC (Polygon) and LUNA (Terra). Both are with increases close to 20% in a week, despite the fact that the rest of the main currencies have followed in the footsteps of bitcoin.

Losses range from 5.5% as the lowest (case of Algorand and ETH itself) up to almost 27% of litecoin (LTC) and chainlink (LINK).

According to Glassnode’s analysis, excessive leverage by traders may have had a negative impact on the price of BTC again. Despite the gloomy scenario in the short term, the main cryptocurrency remains with more than 60% higher so far this year, as we reviewed in CriptoNoticias.