Ethereum News Today: Bitcoin Climbs 2.19% as Fed Governor Backs 2025 Rate Cuts

Bitcoin surged on Monday, climbing 2.19% to $119,209.81 at 9:15 p.m. ET, as Federal Reserve Governor Michelle Bowman signaled support for three rate cuts in 2025, citing weakening labor market conditions [1]. The comments, which followed her recent dissent from the Fed’s decision to hold rates steady, have fueled optimism among investors, particularly in the cryptocurrency market. Meanwhile, Ethereum dipped 0.64% to $4,277.56, and smaller altcoins like Dogecoin and XRP also corrected, reflecting a broader pullback [1].

The broader crypto market saw mixed performance. While Bitcoin’s gains were supported by rising trading volume—up 22% in the last 24 hours—Ethereum, despite breaking past $4,300 over the weekend, experienced a pullback with a 25% drop in trading activity. Notably, ETH’s market dominance climbed above 13%, a level not seen in eight months, as Bitcoin’s share dipped below 60% [1].

Open interest in the futures market also showed divergent trends. Bitcoin’s open interest rose 1.36% in the past 24 hours, while Ethereum’s surged 26% in a week to hit a new high. Over $300 million in liquidations occurred in the last 24 hours, with long positions accounting for the bulk of the losses [1].

Analysts remain cautiously bullish. Ali Martinez, a widely followed crypto analyst, highlighted Ethereum’s potential for further gains, citing the Market Value to Realized Value (MVRV) ratio as an indicator of undervaluation [1]. Meanwhile, Michaël van de Poppe predicted a "wild week" ahead for the market, forecasting that Bitcoin could briefly reach $120,000 before a correction, with altcoins likely to face sharper declines [1].

The Fed’s upcoming inflation data releases—scheduled for Tuesday (CPI) and Thursday (PPI)—will be closely watched as they could shape the central bank’s policy direction. With Bowman’s dovish stance already influencing market sentiment, expectations are building for a more accommodative policy environment in 2025.

The global cryptocurrency market capitalized at $3.98 trillion, up 1.19% in the last 24 hours. While Ethereum and Bitcoin led the major asset classes, smaller tokens like Ethena (ENA), Raydium (RAY), and Lido DAO (LDO) were among the top gainers, rising between 7% and 9% [1].

Source: [1] Bitcoin Rises As Fed Governor Backs Three Rate Cuts In 2025; Ethereum, Dogecoin, XRP Correct: ETH May Have More Room To Run, Says Analyst (https://www.benzinga.com/crypto/cryptocurrency/25/08/47022606/bitcoin-rises-as-fed-governor-backs-three-rate-cuts-in-2025-ethereum-dogecoin-xrp-correct-eth-may-have-more-room-to-run-says-analyst?utm_source=coingecko&utm_campaign=partner_feed&utm_medium=partner_feed&utm_content=site)