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cointelegraph.com Mar 18, 2025 18:26

Ethereum price in ‘cursed’ downtrend which could continue well into 2025 — Analyst - Ethereum’s native token, Ether (ETH), has ventured into oversold territory multiple times against Bitcoin (BTC) in recent months, but the altcoin has yet to show any signs of finding a price bottom. The trading situation is actually quite similar to a previous scenario, and ETH’s market structure suggests that it could repeat itself in Q2 to Q3 of this year.Ether’s repeat breakdowns point to more downsideThe relative strength index (RSI) on ETH’s 3-day timeframe remains below 30, a level that typically signals a potential bounce. However, historical patterns show that previous dips into oversold conditions have failed to mark a definitive bottom. Each instance has been followed by another leg lower, reflecting persistent bearish momentum.ETH/BTC three-day price chart. Source: TradingViewSince mid-2024, the ETH/BTC pair has undergone repeat breakdowns, with losses of around 13%, 21%, 25%, and 19.5% occurring in rapid succession. Moreover, the 50-day and 200-day EMAs are trending lower, confirming the lack of bullish strength.X-based market analyst @CarpeNoctom highlighted ETH’s negative price performance, noting that the ETH/BTC pair has failed to confirm a bullish divergence—when the price makes lower lows but the RSI makes higher lows—on its weekly chart.ETH/BTC weekly price chart. Source: TradingView/CryptoNoctomETH ETF outflows and onchain data hint at further weaknessThe “cursed” ETH/BTC downtrend stands out when compared to the broader crypto market. This includes persistent outflows witnessed across the US-based spot ETH ETFs, as well as negative onchain data.The net flows into the spot Ether ETFs have dropped 9.8% in March to $2.54 billion. In comparison, the spot Bitcoin ETF net flows are down 2.35% in the same period to $35.74 billion.Source: Ted PillowsMeanwhile, Ethereum’s gas fees—measured by daily median gas consumption on mainnet—were sitting around 1.12 GWEI as of March, down by nearly 50 times what they were just a year ago.Ethereum median gas fees vs. ETH price (in dollar terms). Source: Nansen“Despite the second rally of ETH price into 2024 year end, activity on mainnet as measured by gas consumption never fully recovered,” data analytics platform Nansen wrote in its latest report, adding: “This is downstream of a few things but much of the activity has shifted to Solana and L2s over 2024.”Nansen argued that they remain cautiously bearish on ETH due to its unfavorable risk/reward ratio compared to BTC and lower-valued altcoins with niche market focus.A lack of demand for ETH relative to Bitcoin is further visible in its future volume data. Notably, Bitcoin futures volume has rebounded 32% from its Feb. 23 lows, reaching $57 billion on March 18. In comparison, ETH’s trading activity remains mostly flat, according to onchain data platform Glassnode. Bitcoin, Ethereum, and Solana futures volume. Source: GlassnodeThe ETH/BTC pair could drop another 15%ETH/BTC pair is forming a bear pennant pattern on the daily chart, characterized by a period of consolidation within converging trendlines forming after a steep decline.Related: Standard Chartered drops 2025 ETH price estimate by 60% to $4KA bear pennant technically resolves when the price drops below the lower trendline and falls by as much as the previous downtrend’s height. Applying the same rule on ETH/BTC brings its downside target for April to 0.01968 BTC, down 15% from the current levels.ETH/BTC daily price chart. Source: TradingViewFurthermore, the 50-day and 200-day EMAs remain in a sharp downward trajectory, with the ETH/BTC pair trading far below these key levels, signaling a persistent bear market structure.Despite the looming downside risk, a bullish invalidation could occur if ETH/BTC breaks above the pennant’s upper resistance and flips the 50-day EMA into support.This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

FOMO: 85%
cointelegraph.com Mar 18, 2025 19:29

83% of institutions plan to up crypto allocations in 2025: Coinbase - Institutional investors are increasingly bullish on cryptocurrency, with 83% saying they plan to up crypto allocations in 2025, according to a March 18 report by Coinbase and EY-Parthenon. Already, nearly three-quarters of firms surveyed said they hold cryptocurrencies other than Bitcoin (BTC) and Ether (ETH), and a “significant majority” said they plan to boost crypto allocations to 5% or more of their portfolios, the report said. They are motivated by the view that “cryptocurrencies represent the best opportunity to generate attractive risk-adjusted returns over the next three years,” according to the report.Coinbase, the US’ largest crypto exchange, and EY-Parthenon, a consultancy, based the findings on interviews with more than 350 institutional investors in January. Among institutional altcoin holdings, XRP (XRP) and Solana (SOL) are the most popular, the survey found. Coinbase and EY-Parthenon surveyed more than 350 financial institutions on crypto. Source: CoinbaseRelated: Stablecoin adoption, ETFs to propel crypto performance in 2025: CitiAltcoin ETFs incomingAltcoin holdings could rise even further if US regulators approve planned exchange-traded fund (ETF) listings this year.Asset managers are awaiting a greenlight from the US Securities and Exchange Commission to list more than a dozen proposed altcoin ETFs. Litecoin (LTC), SOL and XRP are seen as the most likely to see near-term approval, according to Bloomberg Intelligence. On March 17, the Chicago Mercantile Exchange (CME) Group, the largest US derivatives exchange by volume, launched futures contracts tied to SOL, marking a significant step toward institutional adoption of the altcoin. Stablecoins and DeFi take offMeanwhile, stablecoins continue to see institutional uptake, with 84% of respondents either holding stablecoins or exploring doing so, the survey found. According to the report, institutions are using “stablecoins for a variety of use cases beyond just facilitating crypto transactions, including generating yield (73%), foreign exchange (69%), internal cash management (68%), and external payments (63%).”In December, investment bank Citi said stablecoin adoption will accelerate onchain activity, including in decentralized finance (DeFi). The survey found that only 24% of institutional investors currently use DeFi platforms, but that figure is expected to grow to nearly 75% in the next two years. “Institutions are attracted to DeFi for myriad reasons, citing derivatives, staking, and lending as the use cases they are most interested in, followed closely by access to altcoins, crossborder settlements, and yield farming,” the report said.Magazine: Bitcoin dominance will fall in 2025: Benjamin Cowen, X Hall of Flame

FOMO: 85%