Ethereum price is back above the $3,800 price level after rising 5% in the last 24 hours. Interestingly, this escalate in Ethereum prices occurred during the period: simultaneous escalate in ETH performance compared to BTC in recent weeks.

According to cryptocurrency analyst Benjamin Cowen, this recent price action could actually be the earliest stage in Ethereum’s price escalate relative to Bitcoin over the next six to 12 months.

ETH/BTC pair analysis

The last two weeks were highlighted by consolidation Bitcoin prices below $99,000, while investors were still waiting for a break above $100,000. Amid this Bitcoin price correction, Ethereum price started a noticeable escalate from $3,340 on November 26. This growth has allowed Ethereum and many other altcoins to outperform Bitcoin, leading to speculation about whether the cryptocurrency market is currently in crisis. the early stages of the long-awaited altcoin season.

According to technical analysis from popular cryptocurrency analyst Benjamin Cowen, this may be the earliest stage of the recovery of the ETH/BTC pair. On social media platform X, Cowen noted that the ETH/BTC pair recently hit a low of 0.03187, closely matching his previously predicted worst-case scenario of 0.03.

In 2023, Cowen predicted a significant decline in the ETH/BTC pair. At the time, the ETH/BTC pair was trading around 0.066, but he predicted it could drop more than 45% at this point. Interestingly, this prediction has materialized as Ethereum’s valuation relative to Bitcoin has been sinking since the last quarter of 2023 until recent weeks.

Quick forward to December 2024; Ethereum has rebounded and is doing well against Bitcoin. Specifically, the ETH/BTC pair is currently trading around 0.0396, up 24% from its 2024 low of 0.03187. This resurgence prompted Cowen to re-examine the ETH/BTC pair and his outlook became positive.

Historical trends suggest a seasonal rebound

Cowen highlighted Ethereum’s historical trends, noting that the ETH/BTC pair often gains momentum in December or January. If this trend continues and the ETH/BTC pair gains momentum in December, Ethereum may already be in the early phase of recovery. However, if we wait until January, a return to previous lows at 0.03187 and possibly 0.03 remains possible but increasingly unlikely. He added that within a few months, the exact bottom may no longer matter.

Looking ahead, Cowen forecast significant growth in the ETH/BTC pair in the 6-12 month horizon. Such a move would be highlighted by Ethereum’s price surpassing Bitcoin’s price and a full altcoin season.

At the time of writing, Ethereum is trading at $3,845. Bitcoin, on the other hand finally broke above value of $100,000 and is currently trading at $103,000. The ETH/BTC pair is currently trading at 0.03755.

Featured image created with Dall.E, chart from Tradingview.com