1. Why is Ethereum’s price fluctuating before the US inflation report?
Ethereum’s price is reacting to uncertainty around the upcoming US inflation data, which could influence Federal Reserve policy decisions and investor sentiment in the crypto market.
2. How are ETH ETFs performing recently?
Spot Ethereum ETFs have seen significant outflows — over $145 million in one day and $311 million over the past week — reflecting reduced institutional interest and cautious trading ahead of key economic data.
3. What role does the Federal Reserve play in Ethereum’s price movement?
The Federal Reserve’s stance on interest rates and inflation directly affects liquidity in financial markets. Higher rates can reduce risk appetite, often leading to short-term pressure on assets like ETH.
4. What is the current price range for Ethereum?
Ethereum has been trading in a volatile range between $3,800 and $4,000, with potential downside toward $3,100 if selling pressure continues or upside toward $5,000 if macro conditions turn favorable.
5. How does the broader crypto market impact Ethereum’s performance?
Ethereum’s movement often mirrors the broader crypto market trend. When Bitcoin or overall crypto sentiment weakens, ETH typically follows, especially during periods of macroeconomic uncertainty or ETF outflows.