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

Metaplanet Acquires 160 More BTC, Achieves Massive 95.6% Bitcoin Yield

Japanese hotel giant Metaplanet is going big on Bitcoin as the firm just scooped up…

April 2, 2025

When Will Crypto Market Go Back Up?

As of April 2, 2025, the cryptocurrency market remains volatile. Bitcoin is trading around $84,564,…

April 2, 2025

Bitcoin Price Crashes 12% Despite Massive Corporate Buying In Q1—What’s Going On?

Leading on-chain data provider CryptoQuant has revealed a shocking trend that public companies bought a…

April 2, 2025

Jetking Strengthens Bitcoin Holdings with Equity Sale Approval

Jetking, a publicly listed Indian company, has approved an equity sale to expand its Bitcoin…

April 2, 2025

Stellar Price Prediction 2025, 2026 – 2030: Will The XLM Coin Reach $1?

Story Highlights The live price of the Stellar crypto is . XLM price could reach…

April 2, 2025

Bitcoin Price Outlook: Can Reduced Selling Pressure Drive a Surge?

Currently, the Bitcoin market stands over 30% below the all-time high. In February, the market…

April 2, 2025