Ethereum Struggles Against Bitcoin as Analysts Warn of Further Declines

Ethereum (ETH) has been experiencing a notable decline relative to Bitcoin (BTC), prompting analysts to forecast further price drops in the near future.

As of March 13, the ETH/BTC ratio reached a new low of $0.022, the lowest point observed since May 2020. This drop was accompanied by the Relative Strength Index (RSI) hitting an all-time low of 23.32, signaling significant market weakness.

While an RSI below 30 typically suggests that an asset is oversold and could be due for a rebound, Ethereum’s prolonged downtrend raises questions about the potential for a swift recovery. Despite the RSI signaling oversold conditions, the price of ETH has continued to fall for the past two months, indicating that a reversal may not be imminent.

Experts are increasingly cautious as Ethereum reaches multi-year lows, with growing concerns about the competitive pressures the asset faces. Crypto analyst Alessandro Ottaviani emphasized that attempting to purchase ETH now could be like trying to catch a “falling knife,” warning that further declines are likely.

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Ottaviani also pointed out that the ETH/BTC pair has broken through the critical support level of 0.023, further solidifying the bearish sentiment surrounding Ethereum. This pattern of rapid declines serves as a stark reminder of the risks involved in buying into a downtrend, with the potential for additional losses if the downward movement persists.

Alexander Zdravkov

Alexander has been working in the crypto industry for three years, during which time he has established himself through his active participation in monitoring market dynamics and technological innovations. His interest in cryptocurrencies and new technologies is not just a professional commitment, but a deep personal passion. He follows the news in the sector daily, analyzes trends, and is excited about every new step in the development of blockchain solutions. His enthusiasm drives him to continuously learn and share knowledge, as he sees the future in digital finance and its role in global transformation.