Ethereum dominance hits post-COVID lows: Is ETH losing to Bitcoin?

• Ethereum dominance has collapsed to a five-year low of 8%.
• AMBCrypto’s knowledge exhibits Ethereum’s dominance has declined since mid-2024, regardless of a bullish cycle.

Ethereum [ETH] emerged as considered one of Q1’s largest high-cap underperformers.

Whereas its value drawdown stays in focus, a extra regarding metric is its market dominance, which has plunged to a five-year low of 8%.

In truth, it’s the metric that has retracted ranges final witnessed through the COVID-induced market cycle.

Again then, ETH dominance staged a pointy Q2 restoration, reclaiming a double-digit foothold.

Nonetheless, this time, key technicals diverge – RSI stays anchored in oversold territory, failing to reset regardless of ETH buying and selling at a two-year low.

Supply: TradingView (ETH.D)

Clearly, Ethereum’s risk-off sentiment stays elevated, suppressing contemporary retail inflows and limiting upside momentum. Given the present situations, a 2020-style dominance resurgence seems unlikely.

Moreover, past on-chain metrics and technicals, a broader structural shift is clear.

AMBCrypto’s evaluation of the chart above highlights Ethereum’s sustained dominance downtrend since mid-2024, regardless of a traditionally bullish macrocycle.

Key catalysts – together with post-halving capital rotations, the Trump rally, and the Federal Reserve’s three price cuts – did not ignite a significant restoration.

Regardless of these tailwinds, ETH closed the 12 months with a modest 47% annual acquire.

Nonetheless, its market dominance eroded by 4%, retracing to 12% by This fall 2024, underscoring persistent “relative” weak spot in opposition to broader market tendencies.

Ethereum dominance declines in opposition to macro tendencies

As Ethereum’s dominance eroded all through 2024, Bitcoin’s market dominance (BTC.D) surged from 54% to 61% by mid-This fall, propelling BTC’s whole market capitalization close to the $2 trillion milestone for the primary time in historical past.

Supply: CoinMarketCap

This shift underscores ETH’s relative weak spot, pushed by aggressive capital rotations into Bitcoin, fueled by macro-driven threat positioning and speculative front-running of a possible “Trump pump.”

The same capital circulate imbalance is now unfolding. Institutional demand for Bitcoin has dominated since March, whereas ETH ETFs proceed to bleed outflows, signaling weak conviction.

As macro uncertainty deepens, institutional liquidity will dictate market stability. Bitcoin is more and more cementing its function as a risk-off asset.

In the meantime, Ethereum continues to lose market share – its five-year dominance low reinforcing the narrative of persistent capital rotation away from ETH.