Originally published on: December 06, 2024
According to a recent report by cryptocurrency exchange Bybit, Ether has been outshining Bitcoin in both the spot and derivative markets following the US presidential election on November 5th. The report, titled “Volatility Review,” co-authored by market researcher Block Scholes, indicates that Ether has gained significant traction against Bitcoin, with a noticeable drop in the ratio between their spot prices.
The growing demand for ETH options is also a clear sign that traders are favoring Ethereum over Bitcoin, as stated by Bybit in their report. This trend has only accelerated after the announcement of US SEC Chair Gary Gensler’s decision to step down on November 21st, bringing even more attention and momentum to Ether.
The numbers speak for themselves – the ratio of ETH to BTC has risen significantly since November 21st, signaling Ether’s mounting dominance in the spot market. This shift from Bitcoin to Ethereum has caught the attention of Wall Street, with Hartmann Capital founder Felix Hartmann noting that it’s a clear signal of institutional interest in the “alt rotation.”
While Bitcoin has seen outflows in funds for the first time since September, ETH funds have been experiencing inflows, pointing to a changing landscape in the cryptocurrency market. Bitcoin’s dominance has been on the decline, dropping from over 58% to less than 52% in just a few weeks.
Traders are now preparing for increased volatility in Ether, with options markets showing a surge in ETH volatility compared to BTC. Bybit emphasizes that this shift is not a temporary anomaly but a return to the norm for the pair, suggesting a more sustainable trend.
With all signs pointing towards a bright future for Ethereum, investors and traders are keeping a close eye on the market for new opportunities and strategies. Stay informed and ahead of the curve with Bybit’s latest reports and insights on cryptocurrency trends.
