Lower Investor Hype Around Ether Could Fuel Its Next Breakout
Ethereum (ETH) may have a short-term advantage over Bitcoin (BTC) as investor sentiment shows a more balanced outlook for the world’s second-largest cryptocurrency, according to data analytics firm Santiment.
Ether vs. Bitcoin: Sentiment Divergence
The ETH/BTC ratio has gained nearly 33% in the last 30 days, reflecting Ether’s stronger relative performance. Yet, social media activity has not mirrored this surge, with analysts noting that traders show less interest in buying Ether dips compared to Bitcoin.
“The $ETH crowd hasn’t shown nearly as much bullishness despite significantly better performance over the past 3 months,” Santiment explained, adding that the lack of “overheated sentiment” gives Ether a slightly more bullish path in the near term.
By contrast, Bitcoin’s all-time high rally to $124,128 last Thursday was accompanied by a spike in social media chatter, which Santiment described as a “greed spike” coinciding with a local market top.
Price Performance: ETH Near All-Time High
Ethereum came close to reclaiming its November 2021 all-time high of $4,878, reaching $4,784 before retracing 1.94%. At publication, ETH was trading around $4,448, while Bitcoin slipped to $117,939, down more than 5% from its peak.
Analysts suggest that Bitcoin’s overheated hype cycle may leave it vulnerable to short-term pullbacks, while Ethereum’s more muted sentiment could provide room for continued growth.
Institutional interest and regulatory momentum around stablecoins and Ethereum-based applications are also bolstering the bullish case for ETH.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.