Ethereum saw a significant downtrend against BTC since the peak of the ICO bubble in 2017. The second-largest cryptocurrency is currently sitting at a market cap of $22.5 billion which is down 83% from its peak in 2018. ICO bubble created a huge demand for ETH in 2017-2018 and since then demand for it has dried up. Now as the Ethereum community prepares for the highly anticipated upgrade to a proof-of-stake algorithm, the ratio seems to be making a push against its longterm downtrend line.
Currently, Ethereum is pushing against Bitcoin as the ETHBTC ratio sees an 8% increase to 0.02315 in the past 1 week. It is consolidating at the downtrend resistance and looking good for a break upwards. As we have seen in the past a break of downtrend resistance is a clear signal that Ethereum is ready to make a huge run.
It is also clearly evident from the network usage point of view. Ethereum gas usage has been consistently rising in the past few months. With Ethereum 2.0 set to launch sometime later in 2020 which incentivizes users to stake ETH for earning rewards, there is a strong bullish case for Ethereum going forward.