Ethereum (ETH) has lost momentum after an impressive 150% rally against Bitcoin (BTC), with the ETH/BTC ratio stagnating for the past 40 days, according to trader insights shared by NewsBTC.
ETH/BTC Momentum Fades
Crypto trader Daan Crypto Trades noted that after surging from its lows against BTC, Ethereum has entered “no man’s land.” The ratio has stalled between 0.032 and 0.041, leaving altcoin traders uncertain about the next big move. This pause has coincided with weakness across the broader altcoin market, as momentum-driven sentiment fades.
Is It a Healthy Reset?
Some analysts argue that the pullback may be healthy. Daan highlighted that it could be beneficial for Bitcoin to absorb liquidity again, stabilizing the market after months of aggressive altcoin gains. He suggested regaining interest in ETH only if the ratio breaks above 0.041 or retests 0.032 decisively.
Technical Signals Point to Reversal
Meanwhile, technical analyst GeoMetric sees bullish signs. Using his Gaussian Breakout screener, he pointed out that BTC, ETH, and several altcoins have broken out on the 4-hour chart. If ETH maintains momentum above its mid-channel levels, he believes the market could confirm a reversal.
GeoMetric added that Bitcoin has turned bullish on nearly all major timeframes except the 3-day chart, hinting that a wider market recovery could be underway after weeks of liquidations and negative sentiment.
Outlook
At press time, Ethereum trades near $4,373, holding steady but lacking the explosive momentum seen earlier in its run. For now, analysts suggest watching the ETH/BTC ratio closely, as it remains the barometer for altcoin health and a key factor in determining whether altcoin season can resume.