Ethereum Could Outperform Bitcoin Following ETFs Launch: Report
A new Kaiko report suggests that Ether may surpass Bitcoin in performance following the launch of highly anticipated Ethereum exchange-traded funds (ETFs) in the US.
The report focuses on the Ether to Bitcoin Price Ratio, a metric that indicates the price of Ether relative to Bitcoin based on the amount of BTC required to purchase one ETH.
Currently at 0.05, the ratio has increased from 0.045 before the SEC approved the spot Ether ETFs. The report also highlights Ether’s 1% market depth, which measures the amount of liquidity in a market and predicts that the high liquidity of Ether could lead to a potential bull run.
Higher liquidity can stabilize market prices in the face of large orders compared to assets with lower liquidity, which experience higher volatility.
