Ethereum News Today: Ethereum Surges as Powell’s Words Trigger Market Reimagining

Ethereum (ETH) reached a new all-time high price of $4,866.01 following a surge in investor sentiment triggered by U.S. Federal Reserve Chair Jerome Powell’s dovish remarks at the Jackson Hole symposium. The cryptocurrency rose by 12% to $4,738.91 as of the latest data, nearing its peak from November 2021. This resurgence was attributed to Powell’s signal of potential rate cuts and a shift in the market toward risk-on strategies. Traders were caught off guard by the comments, leading to a "panicked repositioning" in the crypto space, particularly in ETH, as short positions were liquidated amid leveraged trades. The surge also benefited Ethereum-focused companies, with shares of firms like Sharplink and BitMine rising significantly amid increased institutional adoption.

Arthur Hayes, chief investment officer at Maelstrom, and other analysts expressed optimism about Ethereum’s future, with Hayes suggesting the price could reach $10,000 or even $20,000 by the cycle’s end. Standard Chartered’s Geoffrey Kendrick added to the bullish outlook, forecasting a potential price of $7,500 by year-end and as high as $25,000 by 2028. Institutional demand for Ethereum has also surged, with Ethereum ETFs experiencing $3 billion in net inflows in early August, five times the amount seen in Bitcoin ETFs during the same period. This trend highlights growing investor confidence in Ethereum’s utility and long-term potential, especially as it supports blockchain infrastructure for financial services, stablecoins, and tokenization.

The market dynamics around Ethereum ETFs revealed mixed short-term performance. While Ethereum ETFs saw $287.6 million in inflows on Thursday, reversing a four-day outflow streak, the broader trend indicated a potential week of net outflows. In contrast, Bitcoin ETFs recorded $1.15 billion in outflows over the same period. These figures reflect the volatile nature of the crypto market and the ongoing reallocation of capital between different digital assets. The institutional adoption of Ethereum continued to accelerate, with corporate treasuries acquiring over 4.1 million ETH valued at $17.6 billion. BitMine, one of the largest accumulators, aims to hold 5% of Ethereum’s total supply, underscoring the growing interest in the cryptocurrency as an alternative store of value.

Ethereum’s recent price action was also supported by on-chain activity, with short liquidations reaching $120 million in a single hour on CoinGlass data. This liquidity crunch pushed the price higher as traders were forced to close leveraged short positions. The broader market context included a decline in Bitcoin, which fell to $116,191.09, while Ethereum outperformed other major cryptocurrencies like Solana and XRP. This outperformance was attributed to Ethereum’s expanding ecosystem, including increased usage in decentralized finance (DeFi), tokenized structured notes, and corporate treasury strategies. Ethereum’s role in facilitating innovations like tokenized assets and stablecoins further solidified its position as a preferred blockchain for institutional and corporate activity.

Market observers noted that Ethereum’s momentum was bolstered by regulatory clarity and macroeconomic factors. The European Union’s consideration of Ethereum for its digital euro project and the United States’ Genius Act, which provided legal clarity for stablecoins, enhanced Ethereum’s appeal. Additionally, the growing trend of publicly traded companies purchasing ETH for their balance sheets reinforced its status as a legitimate corporate asset. These developments, combined with Ethereum’s technical upgrades and robust developer ecosystem, positioned the cryptocurrency for sustained growth in both price and adoption.

Source: [1] Ether surges, trading close to its record again after Powell ... (https://www.cnbc.com/2025/08/22/crypto-market-today.html) [2] Arthur Hayes says Ethereum will go as high as $20000 this cycle (https://www.dlnews.com/articles/markets/arthur-hayes-says-ethereum-price-to-20k-usd-this-cycle/) [3] Ethereum Price, ETH Price, Live Charts, and Marketcap (https://www.coinbase.com/price/ethereum) [4] ETH to BTC: Ethereum Price in Bitcoin (https://www.coingecko.com/en/coins/ethereum/btc) [5] ethereum, eth, ether currency price (https://www.coinbase.com/price/ethereum)