ETH Outperforms BTC as the Market Attempts Recovery: Markets Wrap

ETH continues to outperform BTC as the digital asset market attempts a recovery, ETH market structure looks bullish

article-image

Blockworks Exclusive Art by axel rangel

share

key takeaways

  • The ETH-to-BTC ratio has been trending upwards as ETH gains momentum
  • ETH market structure implies bullish price action could be nearing

ETH continues to outperform BTC as the digital asset market recovers from last weekend’s sell-off.

ETH issuance continues to decline post-EIP-1559 implementation.

92% of all Ethereum addresses are in a state of profit.

Perpetual funding rates show relatively neutral sentiment among traders, except for Bitmex where traders are getting aggressive.

A look into the latest prices for top NFT collections.

Latest in Macro:

  • S&P 500: 4,701, +0.31%
  • NASDAQ: 15,786, +0.64%
  • Gold: $1,783, -0.04%
  • WTI Crude Oil: $72.65, +0.83%
  • 10-Year Treasury: 1.528%, +0.048%

Latest in Crypto:

  • BTC: $50,174, -0.39%
  • ETH: $4,384, +2.42%
  • ETH/BTC: 0.0874, +2.63%
  • BTC.D: 40.56%, -1.42%

Ethereum

ETH continues to outperform BTC as the digital asset market recovers from last weekend’s sell-off. The ETH/BTC ratio has broken out of a multi-month range after firmly breaking out over the .08 level on Dec. 4. The trend has continued and is running toward levels not seen since early 2018.

Source: Trading View

Ethereum issuance has fallen since the implementation of EIP-1559 back in August. 1.147 million ETH has been burned over that period, leading to a net reduction of 68.35%, according to data from watchtheburn.com.

Source: watchtheburn.com

61.52 million addresses holding ETH, or 92% of all addresses, are in a state of profit according to data from intotheblock.com.

Source: Intotheblock.com

Perpetual funding rates for ETH hold a slightly positive bias across all exchanges, except for Bitmex where traders are getting a bit aggressive according to data from laevitas.ch. The higher the funding rate, the more expensive it is for longs to keep positions open.

Source: Laevitas.ch

A Genesis report noted some layer-2 developments over the month of November include:

  • Metis, an Optimism fork that allows data to be stored on IPFS, launched a $100 million ecosystem fund at the beginning of the month22.
  • And StarkWare, which relies on a different layer-2 technology (ZK rollups), raised $50 million at a $2 billion valuation23 to accelerate expansion of the network.

Non-Fungible Tokens (NFTs)

Trading data from OpenSea and Solanalysis of some of the top Solana and Ethereum projects can be found below:

Top Ethereum Projects
Top Solana Projects

If you made it this far, thanks for reading! I am looking forward to catching up on tomorrow.


Get the day’s top crypto news and insights delivered to your inbox every evening. Subscribe to Blockworks’ free newsletter now.


Tags

Upcoming Events

MON - WED, MARCH 18 - 20, 2024

Blockworks’ Digital Asset Summit (DAS) will take place March 18-20, 2024 at The Hilton London Metropole. Why London? Momentum.  London has become one of the world’s hottest crypto hubs.  Innovation is thriving, new institutional investors are flocking in, and regulators like […]

recent research

l1 cover.png

Research

This analysis focuses on financial metrics for general-purpose L1 blockchains. In many ways, L1s should be viewed as an entirely new asset class more comparable to digital economies than traditional businesses. L1s are the core infrastructure enabling the creation of new-age businesses like onchain protocols.

article-image

Ripple previously announced its intent to acquire Fortress on Sept. 8

article-image

Four patent applications were published since Sept. 21, suggesting that PayPal is taking a close look at distributed ledger tech

article-image

If the market wasn’t quite so boring, perhaps BitBoy’s flameout would have been a little less fiery

article-image

Developers have a new testnet running, but devnet testing the Dencun upgrade is running behind schedule

article-image

A handful of Democrats are joining the anti-Gensler and pro-crypto movement

article-image

The Bank of International Settlements conducted the project in partnership with central banks from France, Singapore and Switzerland