Ethereum has consistently lagged behind Bitcoin since December 2021, with the ETH/BTC ratio dropping by nearly 77%. While its dollar value hasn’t plunged as dramatically as many altcoins, the long-term trend paints a concerning picture for Ethereum holders. One of the paradoxes fueling this decline is the success of Ethereum’s own ecosystem. Layer 2 solutions like Arbitrum, Optimism, and zkSync—designed to scale the network—are siphoning user activity and capital away from the mainnet. While beneficial for scalability, this has fragmented the ecosystem and diluted ETH’s value capturing ability. Moreover, Ethereum’s ambitious and often complex roadmap has added to investor unease. As a result, Ethereum’s broader narrative seems harder to grasp, limiting confidence and enthusiasm in the asset’s long-term trajectory.
At the time of writing, ETH was trading at $1,635.
ETH has been trading in a downtrend, over the past four months. Prices have plunged almost 65% from the high of $4,107, reaching a low of $1,411. The asset has strong support at $1,350. On a daily time frame basis, we can see that volumes have surged to the $1,400 level. ETH has bounced nearly 20% from the recent low, reaching up to $1,691. However, the major hurdle, for the bulls, will be the key resistance levels at $1,750 and $2,150.
Key Levels
| Support 2 | Support 1 | Asset | Resistance 1 | Resistance 2 |
| $1,350 | $1,500 | ETH | $1,750 | $2,150 |
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