Ethereum's Relative Strength Tested Amid Summer Rotation Toward BTC

Ethereum's price has been trading near $2,690 after a failed attempt to hold above $2,800, leaving ETH at an interesting point in its recovery.

The bigger question is no longer whether Ethereum can reach $3,000, but rather whether it can continue outperforming Bitcoin after a summer of relative strength.

An analysis by Richard Salmond found that from early June through mid-September, ETH gained about 25%, compared to roughly 5% for BTC. He linked this divergence to stronger capital inflows and changes aimed at improving Ethereum's network economics and institutional appeal.

Ethereum's next move is crucial as it tests its relative strength against Bitcoin. The latter recently surged to an eight-month high above $87,000, helped by ETF demand, improving liquidity, and short covering. This rebound narrowed some of Ethereum's earlier advantage and showed that capital can quickly rotate back toward BTC when broader crypto sentiment improves.