News View Non-AMP

Ethereum Price Prediction: Fed Rate Cut Boosts Demand – Can ETH Break $2,626?

Published by
Qadir AK

As Bitcoin (BTC) hovers around the critical support and resistance level of $68,000, Ethereum (ETH), the largest altcoin with a fully diluted valuation of about $316 billion and a daily trading volume of roughly $15.1 billion, is approaching an important resistance point at $2,626.

In the past week, Ether’s price has rallied over 9 percent, thus approaching the upper border of a symmetrical triangular consolidation. Consequently, speculation of the next Ether move has resulted in a spike in its Open Interest (OI), with more traders betting on a bullish breakout.

What will happen next? Will Bitcoin and Ethereum continue their upward climb, or will they succumb to selling pressure? Read on to find out!

Ethereum Whales Are Back In Action!

After months of reduced interest, marked by significant cash outflows from U.S. spot Ether ETFs, on-chain data indicates that whale investors are now buying more ETH.

In just the last two days, U.S. spot Ether ETFs have recorded net inflows of over $62 million, led by BlackRock’s ETHA. Meanwhile, the supply of Ether on centralized exchanges has dropped by nearly 3 million in the past 24 hours, primarily on Binance, Kraken, and OKX.

Ethereum Market Outlook

Crypto analyst Benjamin Cowen has pointed out that Ethereum’s market outlook is significantly influenced by macroeconomic changes, especially with the Federal Reserve’s upcoming quantitative easing (QE) program.

Cowen noted that Ether’s supply has been rising by about 60,000 per month for the past six months. He highlighted that it could take only three to four months for the supply to return to pre-Merge levels.

Impact of Monetary Policy on Ether Demand

Cowen emphasized that the trend changed dramatically after the Fed’s 50 basis point rate cut.

“Monetary policy affects this stuff more than many of us care to admit. But more rate cuts will likely increase demand on the ETH network,”

The future of Ethereum is uncertain. How do you see the market evolving in the coming months?

Qadir AK

Qadir Ak is the founder of Coinpedia. He has over a decade of experience writing about technology and has been covering the blockchain and cryptocurrency space since 2010. He has also interviewed a few prominent experts within the cryptocurrency space.

Recent Posts

Live Coin Watch Alert: Bitcoin Solaris’s 21M Fixed Supply Creates Your Second Chance at Bitcoin’s Growth Path

When Bitcoin first emerged, its fixed 21 million supply was mocked. Today, that scarcity has…

June 2, 2025

Singapore Cracks Down on Unlicensed Crypto Firms with Strict New Rules

Singapore’s financial authority announces that unlicensed crypto firms operating overseas after June 30 will be…

June 2, 2025

Can U.S. Buy More Bitcoin? Here’s What David Sacks Revealed

On May 27, 2025, US President’s crypto czar, David Sacks, says there is a pathway…

June 2, 2025

After Monero Surge, Wall Street Ponke Gains Momentum, maybe Under $1?

Hackers used Monero to move stolen Bitcoin, pushing XMR up 24 percent to $269. But…

June 2, 2025

Pakistan Allocates 2,000MW for Bitcoin Mining and AI: A Digital Revolution

Pakistan has allocated 2,000 megawatts (MW) of electricity to fuel Bitcoin mining and artificial intelligence…

June 2, 2025

Pi Network Price Crashes 60% – Will It Drop to $0.40 Next?

The crypto space has taken a slide downwards with intensifying bearish pressure, as investor sentiment…

June 2, 2025