Samson Mow: Ethereum investors will return to Bitcoin

Bitcoin maximalist Samson Mow predicts Ethereum’s rally will attract investors, but they will rotate back to Bitcoin. Market cycle analysis and expert opinions.

ETH Surge, but a Return to BTC is Inevitable

Samson Mow, CEO of Bitcoin adoption firm Jan3 and a well-known Bitcoin maximalist, stated that Ethereum investors will eventually rotate back to Bitcoin. According to him, the current ETH rally is fueled by BTC being converted into ETH to push new narratives and attract institutional interest.

He added that when ETH prices reach high enough levels, holders will start selling, locking in profits and moving capital back into Bitcoin. Mow called this the “Bagholder’s Dilemma,” where psychological price levels trigger selling and prevent new highs.

Historical Cycle and ETH/BTC Dynamics

Despite Ethereum’s sharp growth, historical data shows that altcoins typically peak after Bitcoin. Mow stressed that ETH has always been a tool to accumulate more BTC, dating back to the ICO era.

As of publication, the ETH/BTC ratio stood at 0.036, double its April low of 0.018. During this period, ETH has surged while Bitcoin remained relatively flat.

Altseason and Institutional Interest

Investor Ted Pillows believes Ethereum will reach a new all-time high, triggering a short altseason, before capital flows back into Bitcoin until it hits $140,000. A final rotation back into ETH and altcoins may follow.

Bitcoin dominance has dropped 10% since late June, confirming the ongoing rotation into altcoins. According to Nick Ruck of LVRG Research, ETH’s rally to $4,300 driven by institutional strategies has boosted DeFi platforms’ TVL and attracted users through innovative yield farming and lending solutions.

Ethereum is now just 12% away from its 2021 all-time high, and bullish momentum remains strong.