ETH/BTC tests a monumental 8-year resistance, potentially ending Ethereum’s long underperformance against Bitcoin.
Analysts spot a multi-year bullish divergence and “W” pattern, indicating accumulation and possible trend reversal.
A confirmed breakout above 0.036 could spark Ethereum outperformance and altcoin market resurgence in 2026.
The ever-evolving crypto landscape, the ETH/BTC pair is capturing attention as it tests a formidable 8-year resistance level. A recent analysis from Bitcoinsensus highlights the pair’s descending channel, with Ethereum forming consistent lower highs since 2017. The chart, spanning from 2016 to projected 2028, shows ETH/BTC declining from peaks around 0.12 to current levels near 0.0344, as per TradingView data. This trendline has acted as a ceiling, repeatedly rejecting upward moves and reinforcing Bitcoin’s dominance.
Technical Signals Point to a Potential Turnaround
ETH/BTC trades at approximately 0.0344, up 0.15% intraday and 2.50% over the past week. Historical data from Yahoo Finance and CoinMarketCap confirms slight gains in early January, with the ratio hovering between 0.0338 and 0.0347. However, the pair’s 1-year performance remains down 7.60%, underscoring Ethereum’s relative underperformance amid Bitcoin’s rally.
ETH vs BTC at 8-Year Resistance!
ETH/BTC forming lower highs since 2017
Price approaching major trendline again—make or break
Rejection could send ETH lower vs BTC
Breakout would be a historic shift in market structure#ETHBTC #Altcoins pic.twitter.com/a7Grn9TGpX
— Bitcoinsensus (@Bitcoinsensus) January 5, 2026
Technical indicators paint a nuanced picture. TradingView notes a multi-year “W” pattern with higher lows and hidden bullish divergences, suggesting a potential macro bull market for ETH. A recent breakout above the weekly trendline, followed by a successful backtest, could propel Ethereum to outperform Bitcoin, with resistance at 0.037 and targets beyond 0.043. This aligns with optimistic views from analysts like Cryptollica, who see an 8-year accumulation phase poised to “explode.” Michaël van de Poppe echoes this, noting that since April 2025, the market has favored Ethereum, with upward momentum likely if Bitcoin surpasses $88,000.
Ethereum’s Ecosystem Strengthens Fundamentals
Yet, caution prevails. Rejection at this resistance could exacerbate ETH’s decline versus BTC, as warned by Bitcoinsensus—potentially sending altcoins lower. Skeptics like BunkFreamon point out Ethereum’s 77% drop from its 2017 ATH against Bitcoin, emphasizing persistent weakness. Brain from AskGigabrain adds that the pair remains in a 0.032-0.036 range with a bearish tilt, needing a clean break above 0.036 for confirmation.
Broader factors influence this dynamic. Ethereum’s ecosystem, bolstered by layer-2 scaling and staking yields, contrasts with Bitcoin’s institutional appeal via ETFs. Investopedia highlights ETH’s higher volatility, which could amplify gains in a bull run. With Bitcoin dominance at 57%, a shift could ignite an altcoin season.
This juncture is pivotal. A breakout might herald Ethereum’s resurgence, reshaping crypto hierarchies. Traders should monitor volume and macro liquidity for clues, as this resistance test could define 2026’s market narrative.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.
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