The post Ethereum Price Pumps After Dovish FOMC, $3,000 Target? Next Cryptos To Explode appeared first on Coinpedia Fintech News

The cryptocurrency market displayed a strong rebound on Thursday after the US Federal Reserve continued to pause its monetary tightening. 

In the Federal Open Market Committee meeting that took place on the 13th of December, the US central bank kept its benchmark interest rate unchanged at 525 – 550 basis points. 

Major cryptocurrencies showed immediate uptick in their values after the Fed’s decision, with the Bitcoin price climbing 5% to reclaim the $43,000 mark. The Ethereum price displayed an even stronger bounce back, surging 6% to currently trade at $2,300 mark. 

Before the FOMC’s dovish decision on Wednesday, ETH was trading near the $2,175 mark and was facing the possibility of falling below its most crucial support zone, which ranges from $1,934 to $2,160. Over 5.58 million addresses had previously purchased nearly 40 million $ETH tokens in this zone. 

A bearish breakout below this range could have led to the Ethereum price falling to the $1,800 level. However, now after successfully bouncing up from this zone, analysts believe that ETH could rally to the $3,400 price point in the coming weeks.

Fed Chair Jerome Powell’s Dovish Stance Sends Crypto Prices Flying

The Federal Reserve decided to keep its interest rate unchanged, meeting market expectations. However, rather than the rates itself, it was Fed chairman Jerome Powell’s surprisingly dovish stance that gave a green signal to the investors. 

Powell revealed that another interest rate hike is now unlikely, highlighting that the central bank is happy with the progress it has made in its fight to bring inflation down to 2%. Powell also disclosed that there were discussions in yesterday’s meeting about when to start the quantitative easing and cutting down the interest rate. 

Trillion-dollar investment company BlackRock believes that Powell’s speech is a green light for investors. 

The CME FedWatch tool already gives a 20% chance that the Fed will cut its Federal Funds Rate by 25 bps in the next FOMC meeting, scheduled to take place on the 31st of January, 2024. It also gives an overwhelming 72% likelihood of the central bank engaging in monetary easing by the March FOMC meeting. 

The QE phase is typically an excellent period for risk assets such as cryptocurrencies. Considering that the start of Fed’s dovish stance could also coincide with the upcoming Bitcoin halving and the approval of spot Bitcoin ETFs, the first financial quarter of 2024 is expected to be an extremely bullish phase for the crypto market. 

Analysts Believe Ethereum Price Could Surge To $3,000

Ethereum’s recovery on Thursday has led crypto analysts to give extremely bullish ETH price predictions. Michael van de Poppe of MN Trading reveals that after ETH’s bounce back, the second-largest token is primed to rally to the $3,400 – $3,800 price range, which is when it will face its next crucial resistance. 

Indeed, Ethereum technical analysis from TradingView reveals that the token is outperforming every important moving average indicator in the daily, weekly and monthly time frames, receiving a “Strong Buy” signal. 

The ETH price should also receive a major boost from the broader market outlook, considering that the altcoin market capitalization is on the verge of an extremely bullish breakout. Furthermore, once the spot Bitcoin ETFs are approved, the attention will shift to the likelihood of the SEC approving BlackRock’s spot Ethereum ETF, which should also provide fresh legs to an ETH price rally. 

Could The Ethereum-Based Token “Bitcoin Minetrix” Also See A Bullish Breakout?

A potential Ethereum price rally also provides a boost to ETH-based tokens, especially if they have important real-world use cases. One such ERC-20 token is $BTCMTX, the native cryptocurrency of Bitcoin Minetrix. 

Bitcoin Minetrix is an innovative cloud mining platform that makes crypto mining extremely simple for everyday investors. 

The traditional Bitcoin mining industry has been dominated by wealthy corporations for over a decade, leaving no opportunities for the retail investors. The cost of investment and technical expertise required has also skyrocketed. 

On the other hand, Bitcoin Minetrix users can mine Bitcoin and accumulate passive BTC rewards, simply by staking the $BTCMTX tokens. They can purchase and stake the tokens in exchange for mining credits, which can later be burned for a percentage of the yields or cloud mining time, both options leading to BTC rewards.

Minetrix’s stake-to-mine dashboard makes the entire process as simple as clicking a few buttons. 

This tokenized cloud mining approach is superior to other platforms, due to its high transparency and decentralization. For instance, investors can choose to unstake and sell their tokens at any point, which is a significant improvement over the long-term, cash-based contracts required by other cloud mining platforms. 

With the next bull market quickly approaching, the crypto mining industry is set to turn extremely profitable and Bitcoin Minetrix’s utility will be in high demand. The interest in the $BTCMTX token is already evident, considering it has raised over $5.2 million in its presale in just two months. 

The project has also announced a $30,000 airdrop in which 10 lucky winners will win $3,000 worth of $BTCMTX tokens. 

Visit Bitcoin Minetrix Presale

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Filed under: Bitcoin - @ December 15, 2023 3:18 am