Or is Ethereum the Calm Before the Storm? 

Let’s pause for a moment. The altcoin market is on fire, and investors are scrambling to catch the wave. But have we seen this all before? 

Could it be that altcoins are getting ahead of themselves? The hype is undeniable. Prices are surging, and the excitement is palpable. Yet, amidst the madness, one question lingers like a shadow over the market: Why isn’t Ethereum — arguably the king of altcoins — joining the rally? 

Ethereum’s staying put, hovering around $3,500, while its counterparts race ahead. Are we missing something? Is Ethereum’s stability an omen of things to come, or is it simply waiting for a specific trigger, one that could flip the market on its head? 

Let’s dig into the underlying forces that might be at play here. 

The Market’s Overzealous Run: Have Altcoins Jumped the Gun? 

We’ve seen it before. Altcoins surge ahead, the hype builds, and then the inevitable correction follows. The market is always cyclical, but here’s the kicker: altcoins have traditionally seen explosive movements after corrections, after QE, and after pivotal shifts in the macroeconomic landscape. 

So, could it be that the market is getting ahead of itself this time? 

Take Ethereum, for example. In recent months, Ethereum has been eerily calm, a stark contrast to the frantic pace of other altcoins. Over the past couple of years, Ethereum has undergone major changes, with the transition to Proof of Stake and increasing institutional interest, but is this new paradigm enough to justify its price holding steady while other coins go parabolic? 

Is Ethereum missing out, or is it merely playing the long game? 

The Cycles Before the Surge: Is History Repeating Itself? 

There’s something eerie about the current market dynamics. Historically, Ethereum’s performance has tracked alongside the ETH/BTC ratio, which goes parabolic after a significant correction, often tied to changes in monetary policy — especially when QE makes its return. 

Take a step back and consider this: in 2019, Ethereum took a massive hit before rallying hard. And here we are again, watching a stable Ethereum as the market anticipates the next QE announcement. Could Ethereum be waiting for the trigger? Or could the current market euphoria be a little too early, a little too overconfident? 

Bitcoin dominance has recently hit 61% before pulling back to around 55%. Altcoins are typically expected to outperform when Bitcoin dominance begins to retreat, but why is Ethereum staying still? 

Theories abound, but the answer may lie in the market’s timing. Altcoins are now in the spotlight, but Ethereum, despite its role in driving innovation, is keeping a low profile. Is it waiting for the right moment to leap forward, or is it signaling that it has already reached a new fair value? 

Ethereum’s Fair Value: Could This Be a Silent Revolution? 

Let’s talk about fair value. Technically speaking, Ethereum’s fair value should be around $1,500, according to many models. But here’s the twist: Ethereum has never dropped to that fair value — until now. 

Is this a sign of something bigger? Could it be that Ethereum has reached a new price equilibrium, adjusted for its PoS transition and growing institutional support? The market is watching closely, waiting for Ethereum to make its move. 

But wait. Here’s the question that lingers: Why isn’t Ethereum pumping like the others? Could the market be wrong about the new fair value? Or could Ethereum be holding out for something much larger — a macroeconomic shift, like the return of QE, that would fuel its next major price move? 

The Big Picture: Why QE Could Be the Catalyst 

Here’s where things get interesting. If the Federal Reserve does what many expect and returns to QE in the coming months, liquidity will flood the market. We’ve seen it before: when QE enters the picture, altcoins — and especially Ethereum — go parabolic. 

Could Ethereum be biding its time, preparing for the liquidity boost that will come when QE is announced? This could be the trigger that sends Ethereum — and the entire altcoin market — into another stratosphere.