- The Ether/Bitcoin ratio has bounced off new lows in recent weeks, indicating positive price momentum for ether.
- CME Ether/Bitcoin Ratio futures contract offers an avenue for market participants looking to capitalize on relative value and momentum as well as mean-reversion opportunities in the digital assets pair.
Similar to traditional asset classes, relative value and momentum opportunities exist in digital assets. The strength of one digital currency over another could signal a mispricing of the fair value between the two assets and the price appreciation potential as well as relative value opportunities. In particular, as the price of bitcoin has risen dramatically in recent months – up about 38% from its April 2025 low – market participants may look for investment opportunities that allow them to express their views of the relationship between digital pairs in a single trade.
One way of evaluating those opportunities is through the Ether/Bitcoin ratio, which is computed as the price of ether divided by the price of bitcoin, representing the amount of bitcoin it takes to buy one ether. The lower the ratio, the less bitcoin is required to purchase one ether. Conversely, the higher the ratio, the more expensive ether is since more bitcoin is required.
Therefore, the ratio presents a way for market participants to assess the relative strength of one cryptocurrency versus another, and to potentially identify significant price trends or rotation cycles. In addition, market observers could also use the ratio to gauge the risk appetite for crypto assets, with higher ether prices likely indicating a risk-on environment.
Exhibit 1 highlights the time varying nature of the Ether/Bitcoin ratio. While there have been periods that the ratio has declined, indicating bitcoin outperforming ether, there were also periods during which ether strengthened significantly.
Exhibit 1: Ether/Bitcoin ratio through time
| Average | 0.056 |
| Median | 0.061 |
| High | 0.087 |
| Low | 0.018 |
Source: CME Group, data as of June 30, 2025
In recent weeks, after hitting new lows, the ratio has been rebounding and rising above its 60-day moving average, leading market participants to wonder if ether is ripe for price appreciation after an extended period of underperformance. The rebound in the price of ether on both an absolute and relative basis against other assets in the past six weeks (Exhibit 2) also signals an uptick in investor confidence and reallocation into the cryptocurrency.
Exhibit 2: Performance of Ether Against Other Assets
|
Ether |
Bitcoin |
Gold |
S&P 500 |
|
|---|---|---|---|---|
|
May - June 30 |
40.74% |
14.11% |
-0.34% |
11.93% |
|
Jan - April |
-46.80% |
0.61% |
25.68% |
-5.88% |
Source: CME Group, data as of June 30, 2025. Returns calculated based on the daily settlement prices of corresponding CME Group listed futures contracts.
Using Ether/Bitcoin Ratio futures to capture ether’s potential
We list futures contracts on the Ethe/-Bitcoin Ratio futures (EBR), allowing market participants to express their views on the digital pair. The cash-settled contracts determine the ratio by dividing the daily final settlement value of Ether (ETH) futures contracts by that of Bitcoin (BTC) futures.
For market participants looking to take advantage of ether’s undervaluation as well as any price appreciation potential, EBR futures provide a way to express their sentiment. Rather than executing two separate trades to realize the spread, the ratio is a package solution that captures both relative value and momentum opportunities embedded in the currency pair.
The current margin credit for Ether/Bitcoin ratio is 50%.
Ether/Bitcoin Ratio futures - contract specs
| Product Code |
CME Globex: EBR CME ClearPort: EBR Clearing: EBR |
| Contract Unit |
USD 1,000,000 multiplied by the Ether/Bitcoin Ratio |
| Price Quotation |
U.S. dollars and cents |
| Listed Contracts |
Monthly contracts listed for 6 consecutive months, quarterly contracts (Mar, Jun, Sep, Dec) listed for 4 additional quarters and a second Dec contract if only one is listed. |
| Settlement Method |
Financially Settled |
All examples in this report are hypothetical interpretations of situations and are used for explanation purposes only. The views in this report reflect solely those of the author and not necessarily those of CME Group or its affiliated institutions. This report and the information herein should not be considered investment advice or the results of actual market experience.
