Ethereum News Today: Ethereum's Next Move Could Signal a New Era in Crypto Bull Markets

Ethereum (ETH) is on the verge of surpassing its previous all-time high of $4,868, as a combination of favorable macroeconomic signals and strong technical momentum propels the cryptocurrency toward a potential new peak. On August 22, 2025, ETH briefly traded above $4,800, with traders and analysts closely watching whether the price can maintain the upward trajectory amid shifting Federal Reserve policy expectations and growing speculative activity in the derivatives market.

The recent surge in ETH prices coincided with a dovish signal from U.S. Federal Reserve Chair Jerome Powell during his remarks at the Jackson Hole Economic Symposium. Powell indicated that the Fed is prepared to adjust its restrictive stance if the labor market continues to weaken and growth slows. This prompted a broad market rally, with Ethereum outperforming most other altcoins by gaining nearly 12% in a single day. The price movement reflects a shift in investor sentiment toward risk assets, with ETH positioned as a leading beneficiary of the anticipated rate-cut cycle [3].

From a technical perspective, Ethereum is currently consolidating near its previous high, with immediate resistance levels forming around the $4,800–$4,868 range. Analysts have noted bearish divergences in the Relative Strength Index (RSI) on both daily and 4-hour charts, signaling potential exhaustion in the bullish trend. If ETH fails to break through these levels with strong volume, a pullback toward the $4,400–$4,000 support zones could occur. However, a successful breakout above $4,868 would invalidate the divergence and potentially trigger a parabolic move toward $5,000 [2].

On-chain data further supports the idea that the derivatives market is reaching a stretched state. Futures volume has surged, with multiple signs of overheating visible on the Futures Volume Bubble Map. These conditions historically correlate with periods of heightened volatility and potential corrections. While a new all-time high is not out of the question, the current setup suggests that traders should remain cautious of short-term volatility and liquidity risks [2].

Despite these technical warnings, Ethereum’s fundamental narrative remains bullish. The cryptocurrency is benefitting from strong macroeconomic tailwinds, including the possibility of a September rate cut, increased adoption of Layer 2 scaling solutions, and the anticipation of potential ETF approval. These factors could differentiate ETH from Bitcoin in the next bull cycle, especially as Ethereum’s ecosystem continues to expand and mature [3].

Looking ahead, the next few weeks will be critical in determining whether Ethereum can maintain its momentum. A decisive move above $4,868 would signal renewed confidence in the asset, while a failure to hold that level could lead to a consolidation phase or a deeper correction. Market participants are closely monitoring the Fed’s September meeting for any further clarity on policy direction, as macro conditions will likely dictate the broader trajectory of the asset class [3].

Source:

[1] title1 (https://www.freep.com/story/money/business/2025/08/23/powell-interest-rate-cuts-wall-street/85778957007/)

[2] title2 (https://cryptopotato.com/ethereum-price-analysis-is-eth-about-to-break-past-5k-after-recent-ath/)

[3] title3 (https://bravenewcoin.com/insights/ethereum-eth-price-prediction-ethereum-nears-4868-ath-as-fed-policy-sparks-12-rally-is-5000-within-reach)