#Ethereum

Here’s why the Ethereum price is crashing and its forecast.

Ethereum price crashed by over 6% on Friday, continuing a downtrend that started on March 24 when it peaked at $2,105. 

Ether crashed after the US released hot inflation data, pointing to higher interest rates for longer. The core Personal Consumption Expenditure Index rose from 2.7% in January to 2.8% in February. The headline PCE rose to 2.5%, higher than the Federal Reserve target of 2.0%.

These numbers mean that inflation will remain stickier for a while, especially after Donald Trump implements his Liberation Day tariffs. Higher inflation means the Federal Reserve may hold higher interest rates for longer.