ETH Outperforms Bitcoin but Momentum Weakens: Should Investors Rejoice or Worry?

The year 2025 witnessed surprising developments in the global financial markets. While gold and silver continued to assert their position as "safe-haven assets," the crypto market also made a strong impression, especially with Ethereum (ETH) and Bitcoin (BTC). However, behind the growth trend, many technical signals suggest that a slowdown may be approaching. ETH Strongly Rises But Faces "Local Peak" According to data shared by analyst Maartunn, Ethereum is currently trading approximately 85% higher than the average cost price. This was previously a support level for major breakouts during the bull run of 2020–2021.

However, recent history tells a different story: In March, May, and December 2024, ETH reached similar valuation levels multiple times, but then quickly formed local peaks and entered a correction phase. Currently, the MVRV ratio indicator is once again signaling a sell, indicating that profit-taking pressure is increasing. This raises the question of how much room for price increase ETH has if market sentiment does not change significantly. Ethereum Outperforms Bitcoin Despite facing technical pressures, ETH remains one of the best-performing assets in 2025.

ETH has increased by 32.6% since the beginning of the year, only behind silver and gold among major assets. Bitcoin has only increased by 18.3%, significantly lower than ETH, and also lags behind precious metals. Compared to stocks and bonds, Ethereum still maintains a prominent position, affirming its appeal in the context of many capital flows seeking alternative investment channels. ETH Market: Stagnation and Caution Phase At the time of writing, ETH is trading around $4,299, holding above the 50-day EMA but has not been able to break through the strong resistance level at $4,350.

Technical indicators suggest caution: RSI is moving sideways around the 50 mark, reflecting a state of indecision. The MACD continues to show a bearish crossover signal since the beginning of September. Recent candlesticks indicate weakening buying pressure, with multiple failures to break through the resistance zone. If ETH cannot break the $4,350 mark, the scenario of a correction to the $4,000 – $4,100 range will be put on the table. Conclusion: ETH Needs a New Psychological Boost Ethereum has demonstrated superior strength compared to Bitcoin and many other assets in 2025. However, the repeating local peaks and weakening growth momentum are signaling the risk of a short-term correction. To continue sustaining its upward momentum, the market needs a new catalyst — which could come from institutional capital inflows, technological upgrades, or an overall improvement in investor sentiment. Meanwhile, the current tug-of-war shows that ETH is at an important crossroads: to break through and create a new trend, or to step back and gather more momentum?