Topic: ETH/BTC, what does it reveal to you? - page 2. (Read 263 times)
In reality, correlation helps them to make simple predictions because everyone is aware that there are countless coins in the bitcoin ecosystem, but none of them can compare to these two in terms of quality or price. If the market conditions deteriorate, these coins' prices will remain substantial and won't fall to zero, in contrast to investments in other coins, which may raise concerns about their demise and lost value.
So I saw some people discussing ETH/BTC ratio and I don't understand why this is important. (Or any other ratio where two coins are compared. ) So what does it tell you? Why some people look at it.
These two are the most stable coins comparing to other alts.
For this discussing about these coins remains in the hot topic.
Another solid reason that leads to discussion about this specific pair is just due to it’s stable nature, and people like to trade between two without actually converting it into FIAT or any other currency.
Hope this clears some of your doubts OP.
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In the crypto trading sphere, ETH/BTC ratio are the most trading ratio use by crypto trader because it an act of playing safe through the 2 most supported crypto in the market which at some point there trend determine the market momentum.
Another purpose of the ETH/BTC ratio is that it's allow traders to take advantage of change in price of ETH and BTC whenever they are not correlated with each other.
Another purpose of the ETH/BTC ratio is that it's allow traders to take advantage of change in price of ETH and BTC whenever they are not correlated with each other.
They are the only two cryptocurrencies that have any real meaning out there. Anything else is just noise, and I'm discounting stablecoins.
I totally disagree with you that those are the only two meaningful tokens there are in this space. Come to think of it, some of these Bitcoin and Eth offshoots, have made the market more competitive and allowed investors opportunities of choice. So, they aren't just noise or utterly not useful. I believe in "the more the merrier concept" and ordinarily like more people coming into this game. I'm not against other cryptocurrencies. You missed my point or I didn't state it correctly. But they objectively don't mean anything in the grand scheme of things presently. BTC/ETH are barely a blip on the financial radar. What significance do you think some sub 10B has on the greater economy?
And also, personally, I think the most likely future, say 20 years from now, has multiple winners. Perhaps 5 or even more cryptocurrencies with their own unique functions similar to the modern economy. But for now, there are only two likely winners. That being BTC/ETH. Any other crypto that you could name is probably under 5% to succeed in the long run.
They are the only two cryptocurrencies that have any real meaning out there. Anything else is just noise, and I'm discounting stablecoins.
I totally disagree with you that those are the only two meaningful tokens there are in this space. Come to think of it, some of these Bitcoin and Eth offshoots, have made the market more competitive and allowed investors opportunities of choice. So, they aren't just noise or utterly not useful. I believe in "the more the merrier concept" and ordinarily like more people coming into this game.
I've always found this ratio to be very meaningful. They are the only two cryptocurrencies that have any real meaning out there. Anything else is just noise, and I'm discounting stablecoins.
ETH pumps relative to BTC during any moments in demand that can be seen with the ebb and flow of the ICO market, the NFT market and anything else that has or will happen. It's probably one of the most reliable indicators to it's present level of technology and use of the Ethereum network.
It makes a lot of sense too for people that don't price things in fiat currencies any more. If your goal is to own the most, say, Bitcoin, irrespective of $USD price, you may own more or less Bitcoin depending on Ethereum that you hold.
ETH pumps relative to BTC during any moments in demand that can be seen with the ebb and flow of the ICO market, the NFT market and anything else that has or will happen. It's probably one of the most reliable indicators to it's present level of technology and use of the Ethereum network.
It makes a lot of sense too for people that don't price things in fiat currencies any more. If your goal is to own the most, say, Bitcoin, irrespective of $USD price, you may own more or less Bitcoin depending on Ethereum that you hold.
So I saw some people discussing ETH/BTC ratio and I don't understand why this is important. (Or any other ratio where two coins are compared. ) So what does it tell you? Why some people look at it.
Bitcoin and Ethereum are the 2 major currencies in crypto that’s why many traders are paying importance only to this 2 coin during bear market when they want to trade. The ratio is just a reference of crypto traders that don’t want to base there holdings on fiat and stocking there holdings in crypto unit only.
Don’t get confused with this pair if you don’t care to view your holdings in crypto quantity than fiat. I still preferred fiat for a more stable reference.
So I saw some people discussing ETH/BTC ratio and I don't understand why this is important. (Or any other ratio where two coins are compared. ) So what does it tell you? Why some people look at it.
Traders make profit from comparing two trading pairs. The difference in their price ratio determine if the will be in profit or loss. In layman's term it is a way to decide if they will buy the pair, sell it or avoid trading those pairs. Just like the BTC/ETH pairs when the one can predict BTC could go long against ETH and if their prediction goes right the take some profit else the record their loss. Remember the bigger coin comes first when comparing the ratio. The bigger coin serves as the base while the other the quote coin
It is commonly just used by traders to trade bitcoin and ether directly without converting one first to a stable coin. Some traders also like to go for ETHBTC margin trading as I can see the pair on margin account on the exchanges I am using. But for people to trade unstable coins for profit like this using margin ratio, I do not have any idea of the reason they are going for it. As for me, i prefer going for unstable coins paired with stable coins, like BTCUSDT.
So I saw some people discussing ETH/BTC ratio and I don't understand why this is important. (Or any other ratio where two coins are compared. ) So what does it tell you? Why some people look at it.
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