‘Ethereum is the best contrarian bet in crypto now,’ says Bitwise CEO

• Bitwise exec claimed ETH was one of the best contrarian wager.
• Cowen predicted a powerful ETH/BTC rebound in 2025.

Ethereum [ETH] has underperformed Bitcoin [BTC] And Solana [SOL] for a number of months resulting from what analysts’center youngster syndrome.’

However Matt Hougan, CEO of Bitwise, repeated that ETH was nonetheless one of the best wager in the marketplace, given its main place as dwelling to the highest killer apps in crypto.

“Ethereum is one of the best contrarian wager in crypto proper now.”

Hougan added that ETH’s robust restoration might occur in 2025.

“Ethereum has been handed over this yr as a result of it’s present process advanced adjustments in its structure. It was missed by the joy over Bitcoin and Solana. It is a setup for fairly a contrarian recreation in 2025.”

ETH Challenges

Ethereum has acquired blended reactions to the March 2024 Dencun improve, which improved scalability and lowered L2 transaction charges.

Nonetheless, the improve moved community exercise from the bottom layer to L2s, making ETH inflationary.

Analyze this exercise, specialists deemed BTC as a greater SoV (retailer of worth).

The destructive sentiment pushed the ETH/BTC ratio to a yearly low. This tracked the worth of ETH towards BTC.

Supply: ETH/BTC, TradingView

Like Hougan, analyst Benjamin Cowen predicted that ETH/BTC might backside within the fourth quarter of 2024 and rebound sharply in 2025 primarily based on historic tendencies. He declared,

“ETH/USD will doubtless be weak till EOY, like 2016 and 2019 (additionally the years when ETH/BTC went bust), however I believe it should discover some renewed power in 2025.”

Supply:

Regardless of the FUD, ETH costs have been resilient amid a market restoration within the fourth quarter. For the reason that starting of October, the altcoin has risen nearly 13%, from $2.3k to $2.6k.

It was valued at $2.63k on the time of writing, about 53% away from its 2024 excessive of 4k.