October 5th 2026, 2:14 AM
Ethereum's Liquidity Plunges, Bitcoin Dominance Takes Hold
Key Summary
Ethereum's median market depth has dropped to $13 to $14 million, representing a 35 to 45% share of Bitcoin's liquidity, according to a CoinGecko analysis of eight major centralized exchanges. This marks a significant decline from last year, when Ethereum's liquidity surpassed 60% of Bitcoin's. Bitcoin's median aggregate depth has increased to $29 million on the bid side and $37 million on the ask side, roughly 50% higher than 2025 figures. Binance leads liquidity for both assets, while MEXC's liquidity is significantly lower at approximately $450,000.
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Background
Ethereum's reduced liquidity compared to Bitcoin may lead to increased trading costs and volatility, impacting institutional trading strategies.Analysis
The significant drop in Ethereum's liquidity could have far-reaching consequences for the cryptocurrency market, particularly for those relying on institutional trading strategies.Implications
As institutional traders seek more liquid assets, Ethereum's reduced liquidity may make it less attractive to these investors, potentially altering market dynamics and favoring Bitcoin's dominance.#Ethereum#Bitcoin#Liquidity#Crypto#MarketVolatility