ETH Holds Above Key Level While Market Braces for Fed Outlook
Ethereum (ETH/USDT) is trading around $4,505, showing signs of consolidation as it tests a major support zone near $4,400–$4,250. The move comes just days before the highly anticipated Federal Reserve (FOMC) meeting, where policymakers are expected to provide fresh guidance on interest rates and economic conditions.
The daily chart highlights a sharp rally in recent months, with ETH climbing from below $2,000 in April to above $5,000 in August. However, momentum has cooled in September, and the price is now retesting the same green support area that fueled previous breakouts.
Analysts note that this support will be critical in determining Ethereum’s next trend. “If ETH manages to hold above $4,250, it strengthens the case for another push toward the $5,000 level. A breakdown below that support could open the door for a retest of $3,800,” According to BITX strategists.
The upcoming FOMC decision adds further weight to the technical picture. Higher interest rates typically put pressure on risk assets, including cryptocurrencies, as liquidity tightens. However, any signal of a pause or dovish tone could provide a boost to Ethereum and the broader digital asset market.
Market watchers are also paying attention to trading volumes, which have moderated compared to the summer surge. “Ethereum’s rally has been impressive, but traders are cautious ahead of the Fed. The current consolidation shows the market is waiting for confirmation before committing to a fresh move,” According to BITX experts.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.