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Ethereum falls 10.2% as rising yields and inflation make it unattractive macro asset, says Wintermute.

Market News
19 May 2026
Crypto news
View Source
Bearish
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Ethereum dropped 10.2% this week, with the ETH/BTC ratio falling to 0.0275 amid weak performance in spot and derivatives markets. Market maker Wintermute states that Ethereum is "not the right asset for this macro" due to rising Treasury yields, renewed inflation concerns, and a market favoring hard assets and cashflow clarity over long-term tech bets. Ethereum's value depends on future fee growth, which looks uncertain in the current environment. Wintermute also warns that being long on Bitcoin is risky as it depends on institutional investors returning despite high yields and inflation uncertainty. Overall, crypto is caught between rising yields, liquidity favoring AI and equities, and muted inflows, making Ethereum particularly vulnerable.

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