Animation: Visualizing the ICO Explosion

Visualizing the Ethereum to Bitcoin Ratio (2015-2024)

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The value of ethereum compared to bitcoin recently hit a three-year low, but a reversal could be on the horizon following Trump’s election victory.

The second-largest cryptocurrency by market cap behind bitcoin, ethereum has historically followed bitcoin’s price movements against the U.S. dollar with more volatility.

This graphic uses data from TradingView to show the ETH/BTC ratio, a key barometer of the cryptocurrency market’s interest and demand for altcoins (alternative cryptocurrencies besides bitcoin and ethereum), which can be purchased using ETH on the Ethereum blockchain.

How Has the ETH/BTC Ratio Changed Over Time?

Today, the second-largest cryptocurrency has returned 32% year-to-date against the U.S. dollar while bitcoin has climbed 83% to reach about $77,000 as of November 8th.

Overall, the ETH/BTC ratio has declined sharply since its highs in September 2022, when the Ethereum blockchain updated to a proof-of-stake network to improve security and energy efficiency.

While investor optimism leading up to this event pushed ethereum’s prices higher, interest waned after the event. This coincided with a broader crypto winter in 2022, with investors turning to bitcoin or other safer assets.

The last time the ETH/BTC ratio dropped this low, ethereum rallied 120% in the next two months. While institutional investors have largely focused on bitcoin, ethereum has attracted comparatively less interest, despite its pivotal role in decentralized finance.

What Drives Ethereum’s Price and Volatility?

Driving ethereum’s significant price gains against bitcoin is the increasing emergence of initial coin offerings and decentralized applications (DApps) that are run on the Ethereum blockchain

In 2021, the ETH/BTC climbed to 0.87 as interest in DApps gained renewed momentum. By the end of 2021, there were 2.7 million unique active wallets connected to DApps, and across the wider decentralized finance space, 60% were run on the Ethereum blockchain.

Fast-forward to today, bitcoin still dominates the crypto landscape. bitcoin ETF assets stand at roughly $70 billion, more than doubling over the past year. In contrast, ethereum ETF assets under management have fallen from nearly $10 billion to $7 billion as of early November. However, since November 6, ETF inflows have surged by $132 million in two days, signaling bullish sentiment among investors.

Learn More on the Voronoi App

To learn more about this topic from an ownership perspective, check out this graphic on the largest corporate holders of bitcoin.

Visualizing the Rise of Bitcoin’s Hashrate

This was originally posted on our Voronoi app. Download the app for free on iOS or Android and discover incredible data-driven charts from a variety of trusted sources.

The computing power used to mine bitcoin is at all-time highs, rising by more than sixfold since November 2019.

Today, 94% of bitcoin’s supply has been mined out of the total cap of 21 million. To mine bitcoin, powerful computers solve complex math problems that validate and secure the network. The total computing power, or bitcoin hashrate, measures how many guesses per second are made to solve these calculations.

This graphic shows bitcoin’s hashrate since 2016, based on data from Blockchain.com.

Bitcoin Hashrate Hits Record Highs

Below, we show how the total bitcoin hashrate hit a 693.1 million terahashes per second in late October, rising significantly over the past month:

Since bitcoin’s fourth halving in April 2024, the hashrate has hit all-time highs, while bitcoin’s price has increased by roughly 4% as of November 4, 2024.

During each halving event, which occurs every four years, the reward for mining bitcoin is cut in half. In April, it dropped from 6.25 to 3.125 bitcoins, making it harder for miners to turn a profit with unchanged operating costs.

Despite this, rising hashrates indicate a rising number of active miners, signaling a bullish outlook. As bitcoin’s price rises, it incentivizes miners to join the network since it becomes more profitable, pushing up the hashrate.

Today, notable miners include publicly traded companies like Core Scientific, Riot Platforms, and Marathon Digital, which operate machines capable of trillions of hashes per second using specialized hardware. For instance, Core Scientific runs 169,000 miners, while Riot Platforms aims to fully deploy at least 100,000 miners by 2025.

Still, performance varies across major bitcoin mining companies this year. While Core Scientific stands as one of the top-performing miners year-to-date, with 267% returns as of November 4, both Riot Platforms and Marathon Digital have declined over 20%. By comparison, bitcoin has risen 53%, approaching record highs seen in March.

Learn More on the Voronoi App

To learn more about this topic from a crypto ownership perspective, check out this graphic on the largest corporate holders of bitcoin.