Ether reached a new all-time high, surging above $4,900 as renewed optimism swept the cryptocurrency market. This rally came after comments from Federal Reserve Chair Jerome Powell, who hinted at potential interest rate cuts during his Jackson Hole speech. His remarks encouraged investors, driving significant buying activity in cryptocurrencies and risk assets.

Ethereum’s strong performance has been particularly noteworthy, with its price jumping sharply following Powell’s speech. Over the past week, it broke through its previous resistance around $4,000, turning that level into firm support, and quickly reversed earlier declines. This bullish momentum pushed ether firmly into uncharted territory, sparking predictions from analysts that it could soon reach even higher milestones.

Top market watchers are increasingly bullish on Ethereum’s outlook. Some suggest that, if current trends continue and resistance above $5,000 is decisively broken, ether could target $7,000 before the end of 2025. Others, like well-known crypto investor Arthur Hayes, believe the rally is just getting started, with the potential for ether to climb toward $10,000 or even $20,000 within the current cycle. Institutional demand and growing investor interest appear to be major drivers behind these optimistic projections.

While ether has outperformed most other major cryptocurrencies in recent months, bitcoin exhibited a contrasting trend by giving back its earlier gains from the post-Jackson Hole rally. The divergence between ether and bitcoin highlights shifting sentiment and a stronger appetite for altcoins, with Ethereum leading the charge as the market enters a new phase of speculative enthusiasm.

Overall, the latest surge has placed Ethereum in the spotlight, with analysts and investors closely watching for signs that the current bullish momentum can be sustained as the market heads into the final months of the year.