The end-of-year holidays have not been kind to Ethereum: the $4,000 mark remains out of reach, even in investors' wildest dreams. With such a hesitant start to 2025, experts are wondering. While Bitcoin seems ready to roar, Ethereum is struggling to convince, and the prospects are not the best. Why this growing gap? Analysis and debates.

Traders holding a smashed Ethereum coinTraders holding a smashed Ethereum coin

Bitcoin vs Ethereum: The Widening Gap

Bitcoin, the undisputed king of cryptos, dominated 2024 with an impressive increase of 121.4%. Next to it, Ethereum seems to be playing in the small leagues, displaying only a modest 46.3% over the same period.

This disparity is partly explained by the success of Bitcoin ETFs in the United States, attracting more than $35 billion in investments compared to just $2.66 billion for Ethereum ETFs.

Bitcoin-vs-EthereumBitcoin-vs-Ethereum
Bitcoin (LSH) vs Ethereum (RSH) – Source: 10x Research

THE 10x Research expertslike Markus Thielen, are categorical: Ethereum will not be able to compete with Bitcoin in the immediate future.

We believe that Ethereum's volatility makes it unsuitable for medium-term investment “, he explains.

To this is added the stagnation of active validatorswith a drop of 1% over the last 30 days, a worrying signal for a network supposed to be at the forefront of innovation.

However, all is not lost. Some, like Attestant's Tim Lowe, believe thatstrategic positioning and refined marketing could change the situation. But given the robustness of Bitcoin, the challenge seems colossal.

Key figures to remember:

  • Bitcoin price: +121.4% since January 2024;
  • Ethereum price: +46.3%;
  • ETF Flow: Bitcoin $35.3 billion, Ethereum $2.66 billion.

Crypto market: Ethereum's challenges facing 2025

The crypto market remains a jungle where only the best strategies survive. In 2024, Ethereum has relied on updates like the Duncan upgrade to reduce costs and increase network capacity. But according to Thielen, these initiatives often come “too late,” missing opportunities like the memecoin craze.

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As for the Pectra upgrade planned for 2025expectations are limited:

Out of 19 updates, only two actually had a significant impact on price. »

The prevailing pessimism does not prevent certain traders like Michael van de Poppe from remaining optimistic. In a recent tweet, he predicted a recovery of Ethereum against Bitcoin, with an ETH/BTC ratio potentially above 0.04 from January.

But for other analysts, the future remains unclear. “ Squeezing Hard, Ethereum Could Hit $4,000… Or Plunge Back to $3,000 », declares trader Dal.

The real test for Ethereum will lie in its ability to attract new investors and to meet the real needs of the market. Otherwise, altcoins like Solana could well steal the show.

In conclusion, the chances of Ethereum reaching $5,000 this year are slim. But with a new year beginning, could the story still surprise? Or will the expected records remain out of reach?

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