Time to Dump Ethereum (ETH) and Buy Bitcoin (BTC)? 3 Reasons Why That Might Be a Good Idea
It’s been an ugly month so far for Ether (ETH), the cryptocurrency that powers the Ethereum network, that remains the dominant blockchain used to power most sectors within web3, including DeFi, NFTs, GameFi, GambleFi and SocialFi.
The ETH price, which was last trading just under $1,550 after hitting new seven-month lows earlier this week at $1,520, is down a little over 7.5% for the month.
The world’s second-largest cryptocurrency by market capitalization is thus on course to post its third negative month in four, having now pulled back around 28% from April’s yearly highs close to $2,150.
By contrast, Bitcoin (BTC), the world’s first and largest cryptocurrency by market capitalization, was last trading with losses of only around 0.5% for the month.
At current levels in the $26,800s, BTC is down a more conservative 16% from its earlier yearly highs near $32,000, which were hit back in June.
With the ETH/BTC pair having recent hit its lowest level in 15 months earlier this week under 0.058 following a downtrend that has lasted around one year, some investors are asking whether now might be the time to dump Ethereum and buy Bitcoin.
Here are three reasons why that might be a good idea.
ETH/BTC has been stuck within a bearish falling wedge patter for the best part of a year.
That is, until about one week ago, when the cross bearishly broke to the downside of this pattern.
ETH/BTC has since proceeded to find strong resistance at the downtrend that had formerly been offering support.
That, combined with the fact that the cross has also in recent months been finding strong resistance at its major moving averages, suggests momentum remains firmly in the hands of the bears.
Recent technical developments strongly suggest a continuation of
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