The price of Ethereum has experienced a significant decline of over 35% against Bitcoin over the last year, with prospects indicating the potential for an additional drop of around 40%. This bearish trend mirrors patterns observed in the previous years and raises concerns about further depreciation.
Currently, the ETH/BTC trading pair remains restricted below a multi-year descending trend line, which has historically impeded breakout attempts. Following a retest in August 2025, the pair faced rejection at critical resistance levels, leading to a retreat below the 20-month exponential moving average.
As of May 2026, Ether reserves on Binance have surged to approximately 3.62 million ETH, representing about 24.6% of all Ether held on exchanges. In contrast, Bitcoin reserves on the same platform have declined, indicating a potential oversupply of Ether, which may exacerbate downward pressure on its price if demand does not keep pace.
The next downside target for Ethereum in 2026 could be around 0.0176 BTC, should the current weakness persist, indicating a substantial potential decline from existing levels.