Ethereum Surges to Record High: Could the Fed’s Rate Cut Signal Ignite the Next Crypto Boom?
Who said four years is a long wait? Ethereum just shattered that notion by blasting past its November 2021 peak of $4,869, fueled by a subtle yet seismic shift in the Federal Reserve’s playbook. When Chair Jerome Powell hinted at possible rate cuts as early as September, it wasn’t just a nudge—it was a full-on rally cry for risk assets. Bitcoin followed suit, pushing toward $117,000, while Ethereum and a slew of altcoins sprinted ahead with double-digit surges. It begs the question: Are we witnessing the dawn of a new altcoin cycle, or is this just a flash in the pan triggered by Fed whispers? Either way, the market’s pulse just quickened like never before. Ready to catch the wave? LEARN MORE.
Ethereum climbs past $4,869 for the first time since 2021 as Powell signals rate cuts may be near.
Key Takeaways
- Ethereum surged more than 14% to a record high after Powell’s Jackson Hole speech signaled that rate cuts may be near.
- Bitcoin climbed to $117,000 while altcoins including AERO, Ethereum Classic, SPX6900, and ENA rallied double digits.
Share this article
Ethereum surged more than 14% on Friday, breaking above its November 2021 record of $4,869, after Federal Reserve Chair Jerome Powell hinted that rate cuts could arrive as soon as September.
Speaking at the Kansas City Fed’s Jackson Hole symposium, Powell said the central bank was “shifting the balance of risks” and that recent conditions “may warrant adjusting policy,” a signal traders read as confirmation of imminent easing.
The change in tone ignited a broad rally in risk assets. Bitcoin jumped to $117,000 while Ethereum’s breakout triggered sharp gains across altcoins. AERO soared 20% in the past 24 hours, Ethereum Classic rose 18%, and tokens like SPX6900 and ENA climbed by a similar margin.
With Powell’s comments reshaping expectations, CME’s FedWatch tool showed traders now price an 83% probability of a September rate cut, up from about 70% earlier this week.
The ETH-BTC ratio surged to a yearly high above 0.041, while Bitcoin dominance slipped to 58.5%, signaling relative strength in Ethereum and smaller-cap tokens.
For traders, the breakout marks both the end of Ethereum’s nearly four-year wait for a new high and the start of speculation that a broader altcoin cycle is underway. Ethereum briefly topped $4,887 as a new all-time high before slipping to $4,850 at press time.
Edited to include Ethereum’s ATH price.
Share this article
Post Comment