ETH “God Candle” Ignites Rally on Fed Rate‑Cut Hopes — Is $6,000 Next?
Ether jumped sharply after Federal Reserve Chair Jerome Powell’s Jackson Hole remarks took on a more dovish tone, fueling expectations of an interest‑rate cut and prompting a rapid intraday advance. The token climbed roughly 13% at the Wall Street open, shooting up from about $4,200 and reclaiming resistance near $4,600.
Market participants interpreted Powell’s comments as increasing the likelihood of a September rate cut, which pushed Fed‑cut odds markedly higher. That shift in monetary expectations helped lift risk assets across the board and underpinned the sudden strength in ETH.
Institutional demand has been an important tailwind for Ether. Spot Ethereum exchange‑traded funds registered sizeable inflows in recent trading, contributing to a broader trend of growing investment product demand for ETH and supporting price momentum.
At the same time, on‑chain metrics show a shrinking supply available on exchanges. Exchange balances of ETH have declined to multi‑year lows as more holders move coins off trading platforms — a development market observers say can amplify upside when buy pressure returns.
Technically, Ether’s price action resolved a bull‑flag pattern after breaking above the upper trendline, which places a measured target substantially higher than the current level. Some chart-based calculations point to an objective in the vicinity of $6,000–$6,150, implying a meaningful percentage gain from prevailing prices.
Momentum indicators remain constructive, with the daily relative strength index sitting in bullish territory, suggesting there may still be room for more upside before overbought conditions become a concern.
More bullish scenarios shared by traders range widely — some see targets that extend well beyond the $6,000 area if broader macro and on‑chain drivers remain supportive. Others caution that rapid moves can reverse and that price action should be watched for confirmation rather than taken as a foregone conclusion.
This piece is a market update and not investment advice. Cryptocurrency trading carries risk; readers should conduct their own research and consider their risk tolerance before making trading decisions.
