Topic: Bitcoin's value vs Ethereum - page 6. (Read 15713 times)

there actually is not much of a relationship between the two.
sometimes BTC rises and ETH follows. sometimes it falls instead.
sometimes BTC falls and ETH follows. sometimes it rises instead.

but generally speaking, whenever bitcoin is rising (or falling) other altcoins fall. the reason is not completely clear. i have some theories though.

i say it is partly because most people expect the altcoin falls during times like that so they act faster to prevent losses. that always creates panic sell follow ups. as this happens more often, more people catch on the pattern and start selling and soon an altcoin dump becomes a common thing during bitcoin both rise and falls.

the other part is due to arbitrage opportunities that bitcoin rise creates specially in the altcoins with fiat market like ETH.
for example lets say bitcoin is $10,000 and ETH is 0.05BTC or $500
bitcoin goes to $14,000 so if ETH stays at 0.05BTC it means it would be worth $700 but it can't just rise like that! nobody is going to pay $200 more for it. additionally there is arbitrage opportunity which creates some sells on both markets and "act of selling" is always causing panic sells, stop loss orders kicking in, bots starting issuing warnings, the alerts going off,.... and causes the drop to happen. so the final result would be ETH at $480 and 0.034BTC
(numbers are just for example).

on top of it all, there is always bubbles to consider. specially in a coin like ETH which will burst due to this sell off.

This was the first pattern many economists of crypto observed in the spring of 2017, when Bitcoin was making its early emergence from the old barriers of $1,500. As Bitcoin rose, almost all the other alts did as well. This was when Ethereum also broke $400. But, later, as Bitcoin corrected, and then again moved upwards, the other coins failed to repeat their performance. So the theory that all crypto was linked was disproven.

Today, alts move against Bitcoin when the latter weakens. This is now the hegemony removed.

Ethereum having some issues with it is network right now. That is it main problem.

I used to think that, as the value of bitcoin appreciates, so also should the value of Ethereum. But it seems the reverse is the case.
My question is, Why is it so? I need your opinions, for clarity sack and a better understanding that would really stand as a guide.