Key Takeaways
Ethereum has a habit of stealing the spotlight once the dust settles post-FOMC. With smart money active near local highs, is ETH positioning itself for the next leg higher?
Over the past two weeks, Bitcoin dominance (BTC.D) has bounced off a key support zone at 60%. Yet Ethereum [ETH] held steady above $3,800, closing back-to-back weekly candles in the green.
That’s not what you’d usually expect. When BTC.D moves higher, ETH.D tends to bleed. This time? Ethereum dominance [ETH.D] actually climbed nearly 3%, pushing up to 12.13%.
That’s a clear sign of relative strength, and possibly early rotation. Is Ethereum quietly gearing up for a move against Bitcoin [BTC]?
Market rebalances post-FOMC
Ethereum’s been following a pretty clean post-FOMC pattern lately.
After the May meeting, ETH bounced hard off the sub-$2,000 level, cutting through three key supply zones. The move ran close to 40%, flipping $2,500 into support with clean trend alignment.
June FOMC delivered an even stronger move. Ethereum rallied 50%, showing strong bullish continuation, and slicing through supply zones without much resistance.
Source: TradingView (ETH/BTC)
Now with July’s FOMC behind us, Ethereum is flagging just under $3,900.
And just like the last two meetings, the Federal Reserve stuck to its hawkish tone again, this time softening the odds of a September cut, which typically cools risk appetite.
The reaction? BTC.D opened with a -0.35% intraday fade, while ETH.D pushed +0.50% higher. Is this not random, but a classic early-stage rotation signal, as strategic players shift exposure to mitigate risk?
Aggressive spot bids hit Ethereum
Zooming out post-FOMC, Bitcoin booked solid upside – +11% and +14% off the last two meetings. But Ethereum led the tape both times, showing stronger follow-through.
Now with ETH/BTC breaking clean above the 0.03 handle at press time? It’s clear we’re seeing rotation take shape.
Backing that, Lookonchain flagged three “fresh” whale wallets scooping up 73,821 ETH. According to AMBCrypto, a sizeable bid from new smart money rarely shows up without intent.
Source: TradingView (ETH/BTC)
Combined with strengthening on-chain flow dynamics and a bullish divergence in ETH/BTC, Ethereum’s setup mirrors prior post-FOMC expansions.
With price hovering just 3.60% below the $4,000 psychological level, if order rotation pressure holds, a clean breakout in the next few sessions is firmly on the table.
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