PakGazette’s cryptocurrency, , continues to lose momentum against rival tokens. This drop occurs amid the enthusiasm generated by former President Donald Trump’s foray into the speculative segment of the digital asset market.
The Ether-Bitcoin price ratio, a measure of the performance of the second-largest token against the largest, fell to its lowest level since 2021 on Monday, according to data analyzed by Bloomberg.
During the same period, it reached a record high of $109,241. Meanwhile, the native token, a blockchain that competes with Ethereum, hit new highs over the weekend.
The increase in Solana’s value was largely driven by two memecoins introduced to its blockchain by Trump and his wife Melania before their inauguration. Trump’s memecoin saw intense trading activity over the weekend, reaching a market capitalization of $15 billion before experiencing a sharp decline, according to data from CoinMarketCap.
The pro-crypto stance taken by Republicans has benefited most major digital assets since Trump’s victory over Democrat Kamala Harris in November.
Memecoins, often represented by joke tokens such as , are highly volatile cryptocurrencies with little inherent value. They can post substantial gains if they catch the attention of social media users, but they are equally susceptible to quick failures.
Solana, the self-proclaimed “Ethereum killer,” has become the network of choice for memecoin launches. The price ratio of its token against Ether hit a record high on Sunday, as speculators invested heavily in Trump coins.
While other cryptocurrencies are setting records, Ether remains about 30% below its 2021 peak. Over the past 12 months, the token is up 39%, compared to gains of 156% and 180% for Bitcoin and Solana, respectively.
The comparatively subdued demand for Ether has caused concern among investors. In the last three months, a group of 12 Bitcoin exchange-traded funds in the US recorded a net inflow of more than $17 billion, while similar Ether investment products only attracted $3 billion , according to Bloomberg data.
This article was generated with the support of AI and reviewed by an editor. For more information consult our T&C.
