Ethereum Shatters Records, Charges Toward $5,000 Milestone Following Powell’s Dovish Jackson Hole Remarks

Ethereum isn't just climbing—it's rewriting the playbook. Powell's latest Jackson Hole speech sent shockwaves through traditional markets, but ETH responded with a blistering rally that left legacy assets in the dust.

The Push to $5K

Fresh all-time highs aren't just numbers—they're statements. While Wall Street parsed every syllable of Fed rhetoric, Ethereum's momentum barely paused, slicing through resistance levels like they weren't even there. This isn't mere speculation; it's a market recognizing value that central bankers can't print.

Beyond the Hype

Let's be real—traditional finance still thinks 'blockchain' is a buzzword for PowerPoint presentations. Meanwhile, Ethereum's network continues processing transactions worth billions, proving utility beats theory every time. The $5,000 threshold isn't a question of if, but when—and frankly, the 'when' looks sooner than most analysts dared predict.

So while the old guard debates inflation targets, smart money's already positioned. After all, why watch monetary policy when you can actually participate in the new economy? Just don't expect your bank teller to understand it.

Powell’s Jackson Hole Comments Spark Surge In September Cut Expectations

Trump has publicly pressured Powell for months to cut rates, with the president criticizing him in June as “a political guy who’s not a smart person.”

Powell’s comments shifted market expectations sharply, with CME FedWatch data showing an 87% chance of a September cut, up from 75% just a day earlier.

Ethereum’s run has been bolstered both by macro factors and by structural shifts within the crypto sector. Ether treasuries have swelled, with corporate accumulators and ETFs driving demand. Data from Strategic ETH Reserve shows 10.6m Ether, worth more than $50b, now locked across entities and funds.

Among the largest holders is Bitmine Immersion Tech, which recently added $45m worth of Ether. The firm, chaired by Wall Street veteran Tom Lee, now controls 1.5m ETH, worth over $7b. Other top entities include SharpLink Gaming with 740,800 ETH and Coinbase with 136,800 ETH.

Nine Spot Ether Funds See Inflows With Zero Outflows Reported

Spot Ethereum ETFs recorded net inflows of $341m on Friday, with none of the nine funds posting outflows, according to market data.

That accumulation shows the changing market dynamic. Ether has consistently held above $4,000 this month, a level it repeatedly failed to breach since 2021.

Unlike Bitcoin, which slipped 1.3% on Monday to $113,441, Ether has led the market’s momentum in recent weeks.

Ethereum Now Priced Like Equities As Investors Embrace Rate Sensitivity

Regulatory shifts have also supported the rally. A more favorable environment for stablecoins and institutional adoption has drawn traditional finance firms into Ethereum. Analysts point to growing use of the blockchain for settlement, tokenization and DeFi protocols as adding to its long-term appeal.

Charley Cooper, chief operating officer of Ava Labs, said Powell’s stance was crucial. “Any cuts in rates are great for the crypto markets since lower rates increase money FLOW into riskier assets like crypto,” he said.

He added that Powell has long shown an interest in blockchain, suggesting his outlook carries weight beyond monetary policy.

Cooper argued the real story is how crypto markets now MOVE with traditional risk assets. “Gone are the early days when people believed crypto operated independently of macro factors,” he said. “The fact that crypto now wants rate cuts because they boost prices shows it is being priced like regular equities.”

Fed Minutes, ETF Outflows, Tariff Uncertainty Weigh On Bitcoin

Meanwhile, Gadi Chait, head of investment at Xapo Bank, said Bitcoin’s pullback was not unusual.

“Short-term swings like this are expected; they’ve long been a feature of the asset,” he said. This one likely came from hawkish Fed minutes, ETF outflows, and uncertainty around tariffs and geopolitics, he added.

For Ethereum, however, the weekend’s breakout marks an important milestone. With its price NEAR $5,000 and corporate treasuries expanding, the token has reasserted itself as the driver of crypto momentum.