Key takeaways
- Ether reclaimed the $4,600 level a few hours ago after the Fed cut its benchmark interest rate.
- The leading altcoin could hit the $4,800 resistance level soon amid strong on-chain data.
Ether hits $4,600 as market conditions turn bullish
Ether, the second-largest crypto by market cap and the leading altcoin, is up by more than 1% in the last 24 hours. The positive performance allowed Ether to hit the $4,600 mark a few hours ago, but it has now slightly retraced to trade at $4,580.
The rally comes as the Federal Reserve (Fed) reduced its interest rate by a quarter percentage point on Wednesday. Fed Chair Jerome Powell stated that there was no basis for a larger cut as he defended the Fed’s decision to wait till now to lower interest rates.
Furthermore, Ethereum (ETH) on-chain data shows bullish, suggesting that the coin could rally higher in the near term. The Ethereum network is experiencing rising whale demand, low selling pressure, network activity recovery, and an increasing stablecoin supply. These strong
ETH eyes $4,800 as momentum indicators turn bullish
The ETH/USD 4-hour chart is bullish and efficient thanks to Ether’s rally in recent days. The momentum indicators have switched bullish as the market has turned green, with further gains expected in the near term.
The RSI of 54 shows that buyers have regained control of the market. The MACD lines have also crossed over into the bullish zone. If the bullish trend continues, Ether could top the $4,778 resistance level in the near term. However, it would need the support of the broader market to topple its current all-time high price of $4,956.
If the market decides to undergo a correction after this rally, ETH could retest the recent support level of $4,427. Failure to defend this support could see ETH drop further down towards $4,202.