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Bitcoin (BTC) and ether (ETH) continue to diverge, and currently operate in different monetary universes, according to a new joint report from Glassnode and Keyrock. The study noted that Bitcoin is moving deeper into a low-speed, savings profile, while Ether is rapidly evolving into a productive on-chain asset that fuels staking, collateral and institutional wrappers.
Main takeaways:
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The dormancy and turnover of Bitcoin now resembles gold much more than fiat.
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Long-term holders of Ether transfer coins 3 times faster than holders of BTC.
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Both assets are leaving the exchanges for ETFs, DATs, and staking at accelerated rates.
Bitcoin Crashes, Ether Accelerates
Glassnode highlighted that 61% of Bitcoin has not moved in a year, with turnover at only 0.61% of the free float per day, one of the lowest speed profiles among the main global assets. “Bitcoin is firmly in Store-of-Value territory,” the report said, behaving more like gold than money in motion.
However, Ether is changing in the opposite direction. Long-term ETH holders are mobilizing dormant coins three times faster than BTC holders, a pattern that Keyrock explains reflects “behavior driven by utility rather than accumulation.”
The turnover of ETH is around 1.3% per day, double that of Bitcoin, and 1 in 4 Ether is now locked in staking or ETF, creating a massive productive float that continues to fuel DeFi and liquid staking systems.
Exchange balances for both assets collapsed – BTC by 1.5%, ETH by almost 18%, as currencies flowed into spot ETFs and digital asset investment vehicles. Analysts say that this migration into “sticky” institutional custody may be the most important structural change as Bitcoin has become more like a digital savings bond, while Ether has become the operational backbone of onchain activity.
Related: 3 reasons Bitcoin struggles to overcome each new resistance level above
Analysts see rising structural risk in ETH against BTC
Despite this growing behavioral gap, some analysts interpret BTC-ETH dynamics in very different ways. Instead of seeing Ethereum’s high activity as a sign of strength, 10x Research argued that it may reflect structural fragility, especially as Bitcoin continues to dominate institutional treasury flows.
A recent 10x report suggested that ETH shorting could serve as a hedge against Bitcoin’s growing institutional momentum. The firm said Ether-focused companies are running out of dry powder, undermining the “digital asset treasure” narrative that once drove the rally.
Citing BitMine as an example, the researchers noted that certain treasury structures allow institutions to acquire ETH at low cost and then sell it to retail investors at a premium, a cycle that they believe has now been removed.
Although strong ETH enters Ether Treasuries kept from companies have stagnated in Q4 (for context, it increased 124% in Q3), Bitmine he continued to add more ETH to their allocation, increasing their total to 3,505,723 ETH, adding 110,288 ETH on November 10th.
Related: Altcoin index metrics hint at early renaissance: Is the next rally near?
This article does not contain investment advice or recommendations. Every investment and business move involves risk, and readers should do their own research when making a decision.
