Bitcoin (BTC) and altcoins have started to show a downward trend again after a couple of weeks of upward movement.
As the price of Bitcoin fell below $80,000, Ethereum (ETH), the largest altcoin, also corrected back to the $2,100 level.
In his latest analysis, cryptocurrency market maker Wintermute argues that Ethereum (ETH) is not a suitable or appropriate asset for the current macroeconomic environment.
Wintermute stated that ETH is an inappropriate and incorrect asset for the current macroeconomic environment, citing as a contributing factor the 10.2% drop in ETH last week and the ETH/BTC ratio reaching its lowest level since July 2025 at 0.0275.
“Amid rising yields and renewed inflation concerns, we anticipate that Ethereum is not the right asset for this macroeconomic environment.”
Analysts also noted a net outflow of $255 million from spot ETH ETFs, the largest weekly outflow since the end of January.
Wintermute also argued that taking a direct long position in BTC at current levels means betting that institutional investors will return despite rising Treasury yields and accelerating inflation.
*This is not investment advice.
