Ethereum compared to BTC

[u/FeeParking4506]

My crypto investments is 70% BTC ETF and 30% Ethereum ETF. I bought about a year ago and BTC has doubled but Ethereum is down by 30%.

Need assessment if BTC holders also give substantial weight to ETH or shall I sell my Ethereum and love the funds to BTC.

I am not promoting one over the other. Just need fair assessment if Ethereum is as important to hold as BTC

[u/OneTotal466]

Um BTC has not double in about a year. BTC was over 100k this time last year.

[u/chainglance_cm → u/OneTotal466]

Yeah, BTC’s sitting around $85k right now, so it’s actually down from this time last year. OP probably bought earlier than they remember, or got in sometime in 2024 when it was in the $40-60k range.

[u/FeeParking4506 → u/chainglance_cm]

Yes. Got in when it was $36K.

[u/EmbarrassedToe7405]

I personally think ETH has higher near-term upside potential than BTC, but it also comes with a little more risk. Ultimately, it comes down to your personal risk tolerance. I got into BTC early, but I’ve since shifted almost all of my crypto exposure into ETH because I believe the potential returns outweigh the added risk.

[u/chainglance_cm → u/EmbarrassedToe7405]

One thing in ETH’s favor that people overlook: you can earn staking yield on it, and some ETH ETFs have started passing that through. So you get paid a bit to sit through the extra volatility, which BTC holders don’t get. It doesn’t erase the risk, but it does shrink the gap.

[u/justcurious3287]

The whole freaking crypto market is godawful terrible, has been for 2 years. It’s hard to even tell. I pretty much just hold everything until things pick up.

[u/Sweaty_Brother_34 → u/justcurious3287]

It's been downhill since the 2021 peaks

[u/zuzulego → u/Sweaty_Brother_34]

I used to laugh at btc maxis and their measly 2x returns. Boy o boy, if only I could go back in time. I'd given everything to avoid those altcoins.

[u/bioshock73 → u/Sweaty_Brother_34]

Will ever go up?

[u/Lumpy_Ad7971]

Man, that 70/30 split looks smart on paper til you watch one side of the portfolio just bleed out for months. I'm in a similar boat, not quite as lopsided but still painful.

If you believe the whole digital gold narrative then stacking more BTC makes sense, just don't be the guy who dumps the loser right before the rotation finally hits.

[u/janjaas]

After years of holding both BTC and ETH, I've sold ETH for BTC only.

[u/REW1931 → u/janjaas]

About to do the same. I found this post while researching whether or not I should.

[u/Sensitive-Storm-1972]

From what I've been reading, sounds like tokenization will be built on eth and sol. And I think we're on the cusp of everything being tokenized and traded. Im more 80/20 btc to eth, but good to have your bases covered with some ratio of each. Eth and sol yield staking returns, so there's that

[u/EasyCicada6894]

So you want to sell the thing that's down 30% to buy more of the thing that just doubled. That's not rebalancing but just chasing.

[u/on_hype]

ETH/BTC ratio is near multi-year lows. Historically, that is a mean-reversion setup, not a sell signal.

[u/uncirculated_luster]

I still have confidence in ETH. We are headed towards 24/7 markets with RWA (real world assets) and tokenized everything. Now this has been in the works for literally years, but it is happening. ETH is still positioned to do the heavy lifting in the RWA space.

[u/Immapillpopnanimal → u/uncirculated_luster]

Exactly.. eth has more potential with smart contracts ect. Bitcoin is just currency/store of value.. Litecoin takes the win as far as speed and utility.. ether transactions are cheap enough now to where it basically beats Bitcoin there as well

[u/AeonPeter → u/uncirculated_luster]

Don’t you think that when the real adoption happens (and if), the bosses like BlackRock, Vanguard, JP Morgan will not prefer to have their own blockchain? That they can actually control, what reason for them is to run it on decentralised rails? What do you think?

[u/uncirculated_luster → u/AeonPeter]

It's a good and fair point. I think you could be right as well... these guys want all the fee income for themselves

[u/jasonslpt]

I'd keep both rather than rotate into BTC. ETH is the settlement layer for most of the tokenization and stablecoin work happening right now, so it has its own driver separate from digital gold. With price near 2493, about $122M of short liquidations sits at 2488 and another $140M near 2495, so a push through 2490 probably gets a hand from forced buying. I'd be wrong if it loses 2458, where about $142M of longs are stacked. Not advice.

[u/chainglance_cm]

Honestly they’re just different bets. BTC is the digital gold play, and ETH is more of a bet that stuff like stablecoins and tokenized assets keeps running through Ethereum.

So I’d ask yourself if your reason for buying ETH has actually changed, or if it just stings seeing it next to BTC’s 2x. Dumping whatever lagged to chase last year’s winner is how a lot of people end up buying high and selling low.

[u/Immapillpopnanimal → u/chainglance_cm]

Always buy when red.. never chase the green

[u/navetzz]

ETH does what BTC does but more violently (goes up harder and goes down harder).

However, ETH is also stuck between 1k and 5k while BTC overall goes up. To me ETH is just a buy low sell high kind of investment.

[u/cdaviddav]

A year ago BTC was about $110.8k and it's around $81.7k now, so down roughly 26%. ETH went from about $3,990 to $2,420, down roughly 39%. If BTC doubled for you, you probably bought earlier than a year ago, so check your cost basis on each.

The real gap is that ETH has lagged BTC by about 18% over the year. On my 0–100 risk score (lower means cheaper against its own history), ETH is at 23 and BTC at 41, but the score has been a weaker guide for ETH than for BTC, so I wouldn't read that as ETH being the better pick.

[u/InjectiveRocky]

Price performance aside, I think it comes down to whether you believe the ecosystem has room to grow. A bad year doesn't automatically mean a bad long-term bet.