Ethereum (ETH) has surged 40% in Q2 2025, outperforming Bitcoin’s 32.86% gain during the same period. Analysts now believe a breakout above $3,000 may be imminent, fueled by growing DeFi activity and rising institutional interest.
Ethereum Outpaces Bitcoin in Q2
According to a recent post by crypto influencer Ash Crypto, Ethereum posted stronger quarterly gains than Bitcoin, making it one of the top-performing assets in Q2. The momentum has left analysts speculating whether ETH can sustain its upward trend into the latter half of the year.
Why Ethereum Is Gaining Momentum
Several factors are driving Ethereum’s strong performance:
- DeFi growth: More users are locking value in decentralized applications built on Ethereum.
- Institutional demand: Products like Grayscale’s Ether Trust are seeing smaller discounts, and Ether futures volumes are rising.
- Seasonal trends: Ethereum’s past performance suggests Q4 is often its strongest quarter.
Historically, Bitcoin posts an average Q4 return of 85.42%, while Ethereum averages 23.85%. In major bull years like 2017 and 2020, ETH even posted triple-digit gains.
Utility and Upgrades Make ETH More Attractive
Unlike Bitcoin, which is mostly viewed as digital gold, Ethereum powers decentralized applications across finance, gaming, and NFTs. This utility gives ETH a broader use case.
In addition, continued network upgrades aim to make Ethereum faster and cheaper, which could attract more developers and investors. One notable example is SharpLink Gaming, which is planning to raise nearly $500 million to build an Ethereum-based treasury strategy.
Analysts Expect Breakout Above $3,000
Crypto analyst Michael van de Poppe recently shared his outlook on ETH. He highlighted key resistance levels at $2,500 and $3,600, noting that breaking these points could lead to strong upward momentum.
Van de Poppe also emphasized that Ethereum remains a critical holding for any serious crypto investor. If ETH crosses the $3,000 threshold, it would confirm its bullish trend and reestablish its dominance among altcoins.
