Rebound after FOMC? Ethereum's Direction Diverges

▲ Ethereum (ETH)/ChatGPT generated image ©

Ethereum has entered a short-term correction phase, shaken by large-scale whale selling signals and macro uncertainty.

According to the cryptocurrency media outlet Watcher.Guru on April 29 (local time), Ethereum (ETH) has fallen by 1.3% in the last 24 hours, 1.5% in a week, and approximately 4% in 14 days. However, it has maintained its mid-to-long-term trend, rising 14.1% on a monthly basis and 26.6% since April 2025.

This decline is coupled with a broader market correction. Bitcoin (BTC) rose to $79,000 on April 27 before falling back to the $76,000 range, putting downward pressure on the overall market, with major altcoins also showing concurrent weakness. This reaffirms the typical structure where the direction of Bitcoin, the market-leading asset, dictates the overall market trend.

Furthermore, the movements of whale investors have increased downward pressure. Recently, over $100 million worth of Ethereum was moved to exchanges, which is interpreted as a signal of increased selling potential. The pattern of assets moving from wallets to exchanges is generally perceived as a preparation for selling, coinciding with liquidity provision.

The market views these movements as a risk reduction strategy ahead of the May Federal Open Market Committee (FOMC) meeting. According to the CME FedWatch Tool, the probability of interest rates being frozen at this meeting is reflected as 100%. If interest rates remain high, investors tend to reduce their exposure to risky assets, and cryptocurrencies like Ethereum are relatively more affected.

However, there remains a possibility for the future trend to reverse. There is a chance that expectations for interest rate cuts could form with the change of the Fed chair in May, and the passage of the U.S. cryptocurrency market structure bill, the CLARITY Act, is also identified as a key variable. If these variables materialize, there is a prospect that Ethereum could regain upward momentum.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*