Ethereum price has surged past $3,395, marking a significant recovery after a period of market consolidation.
Over the past four hours, Ethereum saw a strong rally, climbing by 10%. This surge comes ahead of the Federal Reserve’s anticipated rate cut decision, signaling optimism in the broader crypto market.
Here’s Why Ethereum Price Is Surging
The crypto market has increased by 4% in the past 24 hours due to increased anticipation of a Federal Reserve rate cut and the rise of Bitcoin to $94,000.
Investors are optimistic as the probability that the Fed will reduce the rates by 25 basis points (bps) on December 10, 2025, is 89.6. Generally, the lowered rates are usually in favor of assets that are sensitive to liquidity, e.g., cryptocurrencies.
Besides the Bitcoin price soaring, which has hit a low of $89,500, other leading altcoins such as ADA, XRP, Solana have gained massively, and this is good news of strengthening the market.
The rally is brewing up, as the Federal Open Market Committee (FOMC) meeting takes place tomorrow, and the Fed is expected to declare its third cut in the rate this year.
However, the introduction of a pilot program by the Commodity Futures Trading Commission (CFTC) has also contributed to the optimism of the market. It is believed that it will contribute to the increase in confidence in the crypto sphere. All this has made the market bullish as investors are expecting better conditions.
Will Ethereum Price Cross Above $3,500?
The Ether price climbed to $3,373, showing a remarkable 10% increase in a recent trading session.
Ether had a sudden surging trend, and it surpassed major resistance points according to the bullish candlestick lines on the 4-hour chart.
The bullish trend is also supported by technical indicators. The MACD demonstrates a positive crossover, and the MACD line shifts upwards of the signal line at 22.95. This implies that there will be a positive momentum.
Source: ETH/USD 4-hour chart: TradingviewThe RSI, standing at 76, indicates that Ethereum is either moving towards overbought, but the price can continue to increase.
Ethereum price has surpassed its recent resistance at $3,300 and is eyeing the $3,500 level as the next key target. If Ethereum maintains support above $3,300, it could continue its bullish run.
Source: https://coingape.com/markets/ethereum-price-breaks-3390-whats-driving-10-surge/
