Ethereum Rallies to $4,885 Record on Fed Rate-Cut Signal
Ethereum surged over 15% to an all-time high of $4,885 on Coinbase after Federal Reserve Chair Jerome Powell hinted at potential September rate cuts. The jump outpaced Bitcoin’s 4.6% gain and drove Bitcoin dominance down to about 56.5%, underscoring Ethereum’s strength in the latest crypto rally. Veteran trader Peter Brandt called the breakout “powerful,” while Coinbase CEO Brian Armstrong celebrated the milestone, fueling a spike in trading volume.
The rally was supported by macroeconomic optimism, a technical breakout from $4,238, and growing institutional accumulation—major players like ETHZilla added Ethereum to their treasury strategies. Year-to-date, Ethereum is up 45% versus Bitcoin’s 25%. Related tokens such as Lido (LDO) and Ethena (ENA) also posted double-digit gains amid heightened on-chain liquidity.
Traders should monitor upcoming Fed decisions, on-chain volume metrics, and network developments for signals of further upside or consolidation in the Ethereum market.
Bullish
The Fed rate-cut hint triggered a sharp Ethereum rally, boosting bullish momentum in the short term as traders chased quick gains and institutional buyers expanded positions. The drop in Bitcoin dominance and surge in trading volume signal strong market conviction. Over the long term, Ethereum’s sensitivity to monetary policy and growing institutional accumulation support a sustained uptrend, though traders should watch macro updates and network developments for potential consolidation.