Ethereum (ETH) has recently shown signs of significant undervaluation compared to Bitcoin (BTC), as detailed in a CryptoQuant report. Historical data suggests that when ETH's trading level against BTC mirrors current conditions, substantial gains often follow. Institutional investors are increasingly acquiring ETH, driven by expectations that it will soon outperform Bitcoin, particularly following the recent Pectra upgrade. Furthermore, on-chain metrics indicate less selling pressure and growing trading volumes for ETH. The ETH/BTC price ratio has rebounded by 38% from early 2020 lows, and overall trading volume has reached its highest levels since August 2024, mirroring trends from a previous market rally period. Despite this positive outlook, Ethereum's network activity remains low, which could hinder future price increases. Experts suggest that ETH must break above its 365-day moving average against BTC for momentum to build significantly. However, bullish sentiment dominates with rising institutional interest and diminished selling pressure, positioning ETH well for the upcoming months.

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