After ETH’s 45% Q1 losses, why Q2 could favor Ethereum over Bitcoin

As threat belongings proceed to trace the 2025 cycle patterns, from weak features to macro volatility round charge cuts and hefty liquidations, it’s necessary to observe these traits to get a way of the place the market would possibly head subsequent.

Trying particularly at Ethereum [ETH], one sample stands out. 

Thus far, ETH has had a troublesome climb in comparison with Bitcoin [BTC]. ETH has delivered a 1.5× weaker efficiency, which has pushed the ETH/BTC ratio down by roughly 13%, extending losses from the 2025 rally.

Supply: CoinGlass

Apparently, this carefully mirrors the Q1 2025 sample.

Trying on the numbers, Bitcoin’s ROI landed at -11.8%, almost 4× stronger than Ethereum’s -45.4%, whereas Ethereum dominance [ETH.D] ended the quarter down 33%, about 3× weaker than BTC.D’s 12% decline.

Nonetheless, the story shifted in Q2. Ethereum bounced again strongly, with ETH dominance closing 2× stronger than Bitcoin. By the tip of the quarter, ETH’s ROI was roughly 1.5× forward of BTC’s, signaling a transparent rebound.

Naturally, this raises the query: If Ethereum continues to see robust on-chain accumulation and resilient community fundamentals, even amid a risk-off market, might or not it’s setting the stage for one more Q2-style outperformance in opposition to Bitcoin?

What units the bottom for Ethereum’s Q2 efficiency?

Regardless of the FUD, BitMine’s conviction in Ethereum stays unwavering. 

Current knowledge reveals BitMine purchased an additional 45,759 ETH, bringing its whole holdings to 4.37 million ETH. This clearly alerts that BitMine is betting on Ethereum’s future, backed by robust community fundamentals. 

For example, main monetary establishments like BlackRock and J.P. Morgan are constructing blockchain-based variations of conventional fee techniques on Ethereum.

Consequently, the market cap of RWAs on Ethereum has surpassed $15 billion, up roughly 200% year-over-year.

Supply: Token Terminal

This reveals that Ethereum’s current weak efficiency is extra market-driven than a lack of conviction within the community itself.

That divergence is significant, because it factors to the present pullback being a typical “weak arms” shakeout relatively than a basic breakdown.

Due to this, one other Q2 outperformance doesn’t appear far-fetched. 

In truth, this divergence helps lay a stable basis, backed by institutional support, highlighting why ETH might rebound strongly in opposition to BTC if the market swings again to a risk-on atmosphere.

Closing Abstract

• BitMine added 45,759 ETH, bringing whole holdings to 4.37 million ETH, signaling robust confidence in Ethereum’s fundamentals.
• Main establishments like BlackRock and J.P. Morgan are constructing on Ethereum, with RWAs surpassing $15 billion, supporting a possible Q2 rebound vs. BTC.