$ETH $BNB $BTC
Today, the price of Ethereum surged significantly, mainly driven by favorable macroeconomic news, while technical factors in the market further propelled the upward trend.
The table below outlines the main reasons for today’s significant increase in Ethereum:
Reason Category Specific Reason Explanation
Macroeconomic Market Favorability 🕊️ Easing of China-U.S. Trade Tensions Progress has been made in trade negotiations between China and the U.S., with the U.S. stating it will "no longer consider" imposing a 100% tariff on China. This has alleviated global market tensions and boosted the appeal of risk assets (including cryptocurrencies).
📉 Strong Expectations for Federal Reserve Rate Cuts The market generally expects the Federal Reserve to announce rate cuts at this week’s meeting. Rate cuts usually increase market liquidity and are favorable for risk assets like cryptocurrencies.
Internal Market Factors 💥 Short Squeeze During the price increase, a large number of short (bearish) contracts were forcibly liquidated. These forced buybacks further pushed up the price, creating a chain reaction.
