Ether Surges 7% as Bitcoin Traders Eye $80K Support Before FOMC

In a remarkable turn of events, Ether (ETH) has zoomed nearly 7% in the past 24 hours, leading the charge among major cryptocurrencies as traders eagerly await the results of the Federal Open Market Committee (FOMC) meeting scheduled for Wednesday. This surge in Ether’s value is noteworthy, especially as it coincides with a 4% gain in the popular memecoin Dogecoin (DOGE), which has historically shown a tendency to correlate with Ether’s movements.

Memecoins and Other Major Cryptocurrencies on the Rise

In addition to Ether and Dogecoin, other Ethereum-based memecoins such as Pepe (PEPE) and Mog (MOG) have also experienced significant gains, rising more than 5%. These assets continue to act as leveraged bets in the current market environment. Meanwhile, other major cryptocurrencies like XRP, BNB Chain’s BNB, Solana’s SOL, and Cardano’s ADA have all risen by approximately 3%.

However, not all cryptocurrencies are experiencing upward momentum. Tron’s TRX saw a dip after a surge of 5% earlier in the day, as trading activity in memecoins picked up on the blockchain following developments in the Sunpump platform.

Bitcoin’s Stability Under $84,000

On the Bitcoin front, Bitcoin (BTC) has risen by 2% and remains steady under the $84,000 mark during the Asian evening hours. Traders are closely monitoring the $80,000 support level, which some analysts believe is critical. A break below this level could signal a significant shift in market dynamics.

The widely-watched ETH/BTC ratio, which represents the trading pair of Ether against Bitcoin, has increased from 0.23 to 0.24 since the morning hours in Asia. This uptick indicates a growing demand for riskier assets like Ether compared to the perceived safety of Bitcoin.

Technical Catalysts for Ether

Interestingly, Ether’s recent rise does not appear to be driven by any immediate catalysts. However, the Ethereum network is on the verge of significant technical upgrades. The upcoming Pectra upgrade, which is Ethereum’s next major update, is currently undergoing testing and aims to enhance scalability, staking, and user experience. This upgrade includes over 20 Ethereum Improvement Proposals (EIPs), such as EIP-7702 (smart account functionality) and EIP-7251 (raising validator staking limits to 2,048 ETH).

Testing for the Pectra upgrade began on the Holesky testnet in February 2025, followed by testing on Sepolia in March. However, the process has faced challenges, including transaction processing issues stemming from client incompatibilities. A new testnet, Hooli, was launched on March 17, with Pectra testing scheduled for March 26. If successful, the mainnet deployment is anticipated in late April or early May 2025.

Market Sentiment and Expert Insights

Market sentiment remains cautious as traders assess the broader economic landscape. According to traders at Singapore-based QCP Capital, “BTC has found some support at the $80K, but that seems tenuous at best amid broader macro weakness.” They added, “We won’t attempt to call the exact moment when the music stops, but in the short term, we struggle to identify meaningful tailwinds to reverse this rout.”

Furthermore, QCP Capital emphasized the importance of monitoring any dovish shifts in the FOMC’s stance, particularly regarding growth and inflation expectations. They noted, “Given that it will take months for the impact of tariffs to ripple through the economy, we expect the Fed to remain in ‘wait-and-see’ mode.”

Ryan Lee, Chief Analyst at Bitget Research, provided additional insights, stating, “Despite its historical correlation with gold as a macro hedge, Bitcoin’s current divergence—falling while gold rises—suggests it’s acting more like a risk asset, influenced by Fed policy uncertainty, profit-taking, and a shift to traditional safe havens.” He further elaborated, “The FOMC outcome could either trigger a recovery if dovish or deepen the correction if hawkish, with Bitcoin’s short-term trajectory tied to broader economic signals rather than solely reinforcing its ‘digital gold’ role.”

Conclusion

As the cryptocurrency market continues to evolve, the interplay between Ether’s gains and Bitcoin’s stability under the critical $80,000 support level will be crucial to watch. With the FOMC meeting on the horizon, traders and investors alike are poised for potential market shifts that could redefine the landscape of digital assets. For more detailed insights, you can read the original article here.