Ethereum Price News: Post-FOMC Dump Hits Key Structural Level – Can ETH Recover?
Published: December 11, 2025
Author: Alejandro Arrieche
Key Highlights
- Ethereum (ETH) has experienced a nearly 6% drop in the last 24 hours following the Federal Reserve's third interest rate cut of the year.
- Crypto liquidations surged to $400 million post-FOMC meeting, indicating increased selling pressure.
- ETH is currently testing a critical support level at $3,150, which may favor a bullish outlook if it holds.
Market Reaction to Federal Reserve's Decision
Following the Federal Reserve's announcement to cut interest rates, Ethereum's price fell sharply. The market had anticipated this decision, leading to a "sell the news" reaction. The price of ETH hit a significant resistance level at $3,250, which analysts had previously identified as crucial for reversing its bearish trend.
Technical Analysis
On the daily chart, ETH broke above the $3,250 resistance, which is also aligned with the 200-day exponential moving average (EMA). This level is critical for both short and long-term price predictions. However, the price faced rejection shortly after reaching $3,400, coinciding with the Fed's announcement, leading to increased selling pressure.
Current Price Action and Indicators
The Relative Strength Index (RSI) is currently at 52, suggesting that if the bullish momentum continues, ETH could potentially reach $4,000 before the end of the year. Conversely, if the price fails to maintain above the critical support level, a retreat to $2,800 could occur.
Short-Term Outlook
On the hourly chart, early signs of a bullish reversal are emerging as the price retests previous highs. The RSI has dropped below 30, indicating an oversold condition, and is now showing signs of recovery. If the RSI crosses above the mid-line, it could confirm a bullish outlook, potentially driving ETH back towards the $3,400 range.
Conclusion
In summary, while Ethereum faces immediate selling pressure following the FOMC meeting, there are early indicators suggesting a potential recovery. The key levels to watch are $3,150 for support and $3,250 for resistance. Traders should remain vigilant as the market reacts to these critical price points.