Ethereum Market Plummets: Drops to Record Low

The market share of Ethereum (ETH) has plummeted dramatically over the past three years, from 20% down to just 7%.

Ethereum Market Plummets Drops To Record Low

Ethereum (ETH) has experienced a dramatic decline in market share, dropping from over 20% to just under 7%—a level not seen in recent history. Notably, during the 2021 bull run, ETH’s dominance peaked at 22%.

1

Over the past three years, Ethereum’s market share typically fluctuated between 16% and 20%. However, 2024 marked a turning point, as it suffered a sharp and alarming decline. Overall, ETH has lost approximately 67% of its market share, hitting a five-year low of 7%. This downturn is largely attributed to regulatory uncertainty, particularly around taxation, and a broader negative sentiment surrounding the asset.

During the same period, Bitcoin has significantly outperformed Ethereum, despite ETH’s reputation as the pioneer of smart contracts and decentralized finance (DeFi). The ETH/BTC ratio—a key indicator of Ethereum’s price performance relative to Bitcoin—plummeted to a five-year low of 0.018, reflecting a staggering 77% drop since Ethereum’s transition from Proof-of-Work (PoW) to Proof-of-Stake (PoS).

2

In terms of price, ETH has declined by 64%, falling from its all-time high above $4,000 to around $1,500. The bearish outlook is not limited to retail investors; it has also affected institutional interest in Ethereum throughout 2025.

This stands in stark contrast to December 2024, when spot Ethereum ETFs attracted over $2 billion in monthly inflows. In Q1 2025, demand has dropped drastically. According to data from Soso Value, net inflows fell to $100 million or less during the first two months of the year.

3

More concerning is the fact that nearly $500 million has been withdrawn from Ethereum investment products since March.

Despite the negative sentiment, Ethereum continues to move forward with several major upgrades, including Pectra and Fusaka. These updates are designed to significantly improve transaction speed and reduce costs on both Layer 1 and Layer 2, enhancing Ethereum’s competitiveness against rising challengers like Solana (SOL).

Related: Vitalik Buterin Unveils Ethereum’s Major Upgrade

One potential bright spot on the horizon is the possibility of staking being approved for ETH ETFs, with a key regulatory decision expected in June.

(1 vote)

3.0/5

(1 vote)

Latest

How To Participate In The Yupp Airdrop

Airdrops | Editor Choice

How to Participate in the Yupp Airdrop

Join the Yupp airdrop! The AI development platform has successfully raised $33 million and is allowing users to earn points.

Pengu Surges 10% Amid Market Slump

News | Editor Choice | Memecoin

PENGU Surges 10% Amid Market Slump

Amid a sluggish crypto market, meme coin PENGU has surged nearly 10%, but technical indicators suggest this rally may soon lose steam.

Two Satoshi Era Whales Suddenly Wake Up, Move 20,000 Btc

Bitcoin | Editor Choice

Two “Satoshi Era” Whales Suddenly Wake Up, Move 20,000 BTC

Two wallet addresses holding 10,000 Bitcoin each have unexpectedly become active after 14 years of inactivity, raising concerns about a potential sell-off.

Nano Labs Spends $50m On Bnb, But Stock Price Keeps Falling

News | Altcoin | Editor Choice

Nano Labs Spends $50M on BNB, But Stock Price Keeps Falling

Nano Labs boldly spent $50 million on BNB in a bid to build a $1 billion reserve, but its stock price continues to plunge despite the ambitious investment strategy.

Ripple Mints Additional 16 Million Rlusd With Support From Amina Bank

News | Altcoin | Editor Choice

Ripple Mints Additional 16 Million RLUSD with Support from AMINA Bank

Ripple has minted an additional 16 million RLUSD as Switzerland’s AMINA Bank becomes the first global financial institution to support the stablecoin, marking a significant step in bridging traditional finance with blockchain technology.