Investment firm Two Prime has abandoned its support for Ethereum (ETH), transitioning to a solely Bitcoin (BTC) focused approach. Following a $1.5 billion loan portfolio split between BTC and ETH over the last 15 months, they made this significant shift on May 1st, citing ETH’s volatile price trends and lack of predictability as major contributors to their decision. Two Prime asserts that ETH’s behavior has shifted from a traditional asset to more of a memecoin-like speculative play, impacting its algorithmic trading strategies and lending activities. 2025’s Q1 saw ETH prices plummet by over 45%, with some analysts viewing it as a potential bottom and expecting it to recover soon. The firm emphasizes that Bitcoin exhibits consistent behavior despite market fluctuations, contrasting ETH’s volatile moves. This shift has sparked debate in the cryptocurrency community, prompting calls for ETH price rallies, especially given its continued strong performance within crypto ETPs. Despite slow ETF approvals for ETH in 2024, it still holds a dominant position among crypto ETFs by assets under management (AUM), exceeding Solana and XRP’s performance. This marks a significant departure from Two Prime’s previous approach, highlighting the challenges faced by Ethereum despite its prominent place within the cryptocurrency market.