Will 2025 Bring a Turnaround?
At the beginning of the year, Ethereum’s dominance was around 16.96%. It hit an annual peak of 19.28% in late February. In mid-May, it plummeted to a low of 15.42%. Just before the launch of the Ethereum spot ETF, it rebounded to a peak of 18.8% in mid-June. However, since its launch, ETH’s dominance has steadily declined by around 5.42%. The big question now is: Will 2025 bring about a turnaround?
Bitcoin dominance overshadows Ethereum and altcoins
Since the beginning of this year, the Bitcoin market has increased by more than 115.76%. At the beginning of the year, Bitcoin’s dominance was around 51.58%. Currently, Bitcoin accounts for 58.71%, but between November 20 and December 7, Bitcoin’s dominance dropped from an annual peak of 61.19% to a low of 55.11%.
Although Ethereum’s dominance jumped significantly from 12.11% to 13.5% between November 21 and December 6, it has fallen sharply by at least 1.09% since December 7.
It is worth noting that the altcoin market’s year-to-date growth rate is currently 65.18%, especially Ethereum’s 40.96%.
This shows that Bitcoin is outperforming altcoins and Ethereum this year.
Ethereum’s dominance declines despite ETF inflows
Reports show that Ethereum’s dominance has continued to decline since the launch of the Ethereum ETF in mid-2024. The report added that despite billions of dollars flowing into the ETF, it had little impact on the price of Ethereum.
There is currently no catalyst to support Ethereum
Reports suggest that traders have largely lost confidence in Ethereum’s potential for significant gains. The report added that there are currently no strong factors predicting an ETH price rebound.
2025: A promising year for the Ethereum bull run?
Experts advise Ethereum bulls to remain patient until a strong narrative emerges in the cryptocurrency’s favor in the coming year.
They predict that market sentiment may shift towards ETH in 2025.
All in all, while Ethereum faces challenges, 2025 brings hope of a strong recovery.
