Bitcoin Miner Jiang Zhuoer Rotates Capital to Ethereum, Calls for ETH Outperformance This Cycle

Jiang Zhuoer, founder of Chinese mining pool BTC.TOP and one of the most visible voices in Asia's crypto mining scene, said he will shift his remaining capital into ether after months of public skepticism toward the asset. The pivot comes as Ethereum has added 31.4% over the past seven days, outpacing Bitcoin's 23.6% gain across the same window, according to CoinGecko daily closes through Aug 24. Zhuoer's reversal is notable because he built his reputation on Bitcoin maximalist arguments, fixed supply, miner revenue security, and the "digital gold" thesis. CoinGecko data shows in a weekend post, he cited Ethereum's proof-of-stake yield, currently near 3.2% annualized for native stakers, and the growing share of L2 transaction fees that accrue to ETH via EIP-1559 burns. "The fee capture on rollups changes the unit economics," he wrote. "ETH becomes a productive asset, not just a store of value.

The move and its size

per CoinGecko, Ethereum traded at $2,445.89 at 14:00 UTC Aug 24, up 2.1% in 24 hours. Bitcoin sat at $77,228, up 0.9% on the day. The seven-day close series shows ETH climbing from $1,903.73 to $2,429.78, while BTC moved from $63,625.94 to $76,785.95. ETH's 7-day volatility, measured by the close-to-close range, exceeded BTC's by roughly 400 basis points.

What is driving it

Three forces appear to be aligning. First, net ETH staking deposits turned positive in July after three months of outflows, per Beaconcha.in data. Second, aggregate L2 fees burned via EIP-1559 topped $12 million in the week ending Aug 23, the highest since March. Third, the ETH/BTC cross has reclaimed the 0.0315 level, a resistance that held through June and July. Zhuoer specifically referenced the "rollup-centric roadmap" and the coming Pectra upgrade, which raises the max effective balance per validator to 2,048 ETH and enables execution-layer withdrawals. "Staking becomes capital-efficient," he said. "Institutions can deploy at scale without fragmenting validators.

The levels that matter

Figures from the desk show spot ETH has immediate resistance at $2,480 (the July 29 high) and $2,540 (the 2024 yearly open). A daily close above $2,540 would mark the first weekly close above the yearly open since February. On the downside, $2,300 aligns with the 20-day exponential moving average and the Aug 14 swing low. For the cross, 0.0325 is the next technical target, the 2023 Q4 high. A break would put ETH on pace for its strongest quarterly outperformance versus BTC since the Merge. Failure at 0.0315 keeps the pair in the six-month range. CoinGecko data shows | Dominance | 59.2% | 11.3% |

The scenario that breaks the thesis

If the ETH/BTC cross falls back below 0.0295, the Aug 5 low, the outperformance narrative loses its technical footing. per CoinGecko, a simultaneous drop in staking yield below 2.8% (which occurs if validator count surges past 1.15 million without fee growth) would remove the carry argument. Regulatory risk also lingers: the SEC's pending classification of staking-as-a-service could dampen institutional inflows.

What confirms or denies it this week

Watch the ETH/BTC daily close on Friday. A weekly candle above 0.0315 with volume above the 20-week average signals conviction. On-chain, monitor the net staking flow dashboard, sustained inflows above 50,000 ETH per week would validate the institutional bid. Figures from the desk show l2 fee burns above $15 million weekly would confirm the burn thesis. Absent those, the move reads as a tactical rotation, not a structural shift.