Bitcoin’s (BTC) four-year compound annual development fee (CAGR) has dropped to its lowest recorded stage of 8%, in line with Glassnode information.
The four-year interval was chosen to align with bitcoin’s (BTC) halving cycle whereas additionally capturing the everyday bull/bear market cycle, which tends to comply with the same timeframe.
In March 2021, 4 years prior, bitcoin was buying and selling round $60,000, close to the height of the earlier market cycle. The decline in CAGR is anticipated as bitcoin’s volatility and returns diminish over time because the asset matures.
Nonetheless, this metric is extremely depending on the reference factors. In 2021, Bitcoin was experiencing a blow-off high early within the cycle, whereas in March 2025, $80,000 may very well be marking a cycle backside.
The ether (ETH)-to-bitcoin (ETH/BTC) ratio has additionally entered destructive CAGR territory at 6%, reflecting the underperformance of ethereum’s native token in comparison with bitcoin. This decline is primarily because of ether value remaining primarily flat since February 2021, which is now under $2,000.
Presently, the ETH/BTC ratio stands at 0.024, marking its lowest stage since late 2020.
Disclaimer: Components of this text had been generated with the help from AI instruments and reviewed by our editorial workforce to make sure accuracy and adherence to our requirements. For extra data, see CoinDesk’s full AI Coverage.
