Ethereum is positioned in one of its deepest undervaluation periods as stated by Bitwise. Currently, 1 ETH trades for 0.027 BTC, reflecting a 47% decrease in the last 12 months.

Bitwise’s Andre Dragosch highlighted the mispricing of Ether against its on-chain performance, attributing ETH’s struggles to rising interests in AI and a shift toward meme coins and tokenization.

Looking ahead, historical data shows that Ethereum tends to rebound in February, having secured positive returns against Bitcoin in seven of the last eight years, despite its 20% decline since the beginning of 2025.