The post Ethereum Price Jumps 7% Before FOMC, Traders Predict 30% Rally appeared first on Coinpedia Fintech News
Ethereum price today jumped nearly 7% ahead of the highly awaited FOMC meeting on December 10. This sudden jump has brought new energy and hope back into the crypto market.
As of now, ETH is trading below $3,400, but well-known crypto trader Captain Faibik shared a bullish chart suggesting that Ethereum could see a 30% rally in the coming days.
90% Chance Of Fed Rate Cut
A major reason for Ethereum’s rise is the growing confidence that the U.S. Federal Reserve may cut interest rates again. The Fed has already delivered two rate cuts earlier, and many traders believe another cut could come before the year ends.
Meanwhile, CME FedWatch shows nearly a 90% chance of a 0.25% rate cut, especially as inflation cools and economic pressure builds.
This anticipation has created a classic “risk-on mood,” and Ethereum appears to be one of the biggest beneficiaries.
Ethereum Starts Outperforming Bitcoin
Ethereum is also gaining strength against Bitcoin. The ETH/BTC chart is slowly moving up, which often means investors are starting to shift money from Bitcoin into Ethereum.
At the same time, spot Ethereum ETFs recorded $177.7 million in inflows on December 9, more than Bitcoin’s $151.5 million. This shows that investors are currently showing a stronger interest in Ethereum.
There’s also rising speculation that BlackRock’s Ethereum staking ETF could get approved by late December or early January.
Ethereum Supply Tightens as Institutions Accumulate
Ethereum’s supply shortage is becoming difficult to ignore. The amount of ETH left on exchanges is now the lowest since 2015, with only about 8.7% of the total supply still available on centralized platforms.
Big investors are also buying a lot of Ethereum. Recently, Tom Lee’s Bitmine Immersion purchased $435 million worth of ETH.
In the last five months, large institutions have collected nearly 4 million ETH, a type of strong buying that often happens before big price jumps.
Is Ethereum Ready for a 30% Rally?
From a technical view, Ethereum has finally moved above a strong downward trendline. Crypto trader Captain Faibik explains that this trendline stopped every rally for almost two months, as sellers pushed the price down each time ETH tried to rise.
But now, Ethereum has broken through that line with clear strength.
Faibik believes this breakout could start a 30% rally, possibly sending ETH toward the $4,200–$4,300 range if buyers continue to step in.