ETH/BTC: Tuur Demeester Registers Surprising Pattern

$ETH/$BTC, the ratio between Ethereum's value and Bitcoin's value, fails to recover from a multi-year downtrend. Seasoned Bitcoiner Tuur Demeester, author of Bitcoin Reformation theory, noticed that this crucial indicator lost over one third of its value in two years.

$ETH/$BTC lost 36.4% after this reckless move: Tuur Demeester

The $ETH/$BTC metric is 27.9% down in 12 months, Tuur Demeester noticed in his recent thread on X (formerly Twitter). This is the result of a prolonged downtrend: In two years, Ethereum ($ETH) lost 36.4% against Bitcoin ($BTC).

Demeester stressed that this timeline was chosen to demonstrate the long-term effects of Ethereum's ($ETH) migration to the proof-of-stake (PoS) consensus.

He recalled that Ethereum ($ETH) managed to replace PoW with PoS 18 months ago, in mid-September 2022. After this game-changing upgrade was activated, Bitcoin ($BTC) became the only major cryptocurrency leveraging the proof-of-work (PoW) consensus.

As covered by U.Today previously, Ethereum ($ETH) founder Vitalik Buterin called its now-deprecated proof-of-work version too vulnerable to centralization.

Buterin recalled that PoW always was nothing but a "temporary stage" before migration to proof of stake, which replaced mining with staking as a way to secure blockchain consensus.

As of now, Ethereum's ($ETH) proof-of-stake (PoS) ecosystem features more than 1 million active validators, U.Today reported in April.

Top trader Peter Brandt foresees continuation of trend

The Bitcoin Reformation author also recalled his August 2022 comment and called the Ethereum ($ETH) migration a "reckless switch."

Followers of Demeester indicated that this metric can be different should we zoom out. For instance, on a 10-year time frame, it would demonstrate 76,000% growth instead of a 36.4% decrease.

However, veteran trader Peter Brandt noticed that in three years, $ETH/$BTC might be 57% down, according to Demeester's model.