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Ethereum Surges 13%: How Trump's Tariff Pause & SEC ETF Options Approval Fueled the Rally

    Themuskit coin price prediction cryptocurrency market witnessed significant volatility this week as Ethereum (ETH) posted double-digit gains following two major macroeconomic developments. The digital asset surged 13% on Wednesday, breaking through key resistance levels after a series of positive regulatory and economic announcements.

    Dual Catalysts Drive Ethereum Momentum

    Market observers identified two primary factors behind Ethereum's sudden price appreciation. First, the White House announced a 90-day suspension of tariffs affecting 75 nations, a move interpreted as risk-on signal for speculative assets. Second, and perhaps more consequentially for crypto markets, the SEC granted approval for options trading on existing spot Ethereum ETF products.

    "The combination of reduced trade barriers and enhanced institutional product offerings creates ideal conditions for altcoin appreciation," noted blockchain analyst Mark Richardson. "Options trading introduces sophisticated hedging strategies that traditional investors demand."

    Institutional Products Reshape Market Dynamics

    The SEC's decision affects multiple financial giants including Fidelity, BlackRock, and Grayscale, permitting them to offer options contracts on their Ethereum-based ETF products. This development follows the earlier approval of spot ETH ETFs and represents another step toward mainstream financial integration.

    Interestingly, while Ethereum itself gained value, the best-performing ETF products year-to-date have actually been inverse ETH funds. Two leveraged short ETH ETFs have outperformed volatility-tracking products despite recent market turbulence, highlighting the complex dynamics between underlying assets and derivative products.

    Technical Outlook: Key Levels to Watch

    From a chart perspective, Ethereum's rebound from $1,400 to $1,650 represents a significant technical development:

    • The $1,500 support level has transformed from resistance to support
    • Daily RSI shows upward momentum though still in neutral territory
    • Volume patterns confirm legitimate buying interest

    Market technicians suggest the next major test comes at $1,800, which represents both psychological resistance and the upper boundary of ETH's descending channel. A decisive break above this level could signal the start of a more sustained uptrend.

    Conversely, traders should monitor the $1,500 level as critical support. A daily close below this mark would invalidate the current bullish technical structure and potentially lead to retests of recent lows.

    As always in cryptocurrency markets, volatility remains elevated. The coming weeks will reveal whether this move represents a temporary relief rally or the beginning of a more substantial trend reversal for Ethereum and the broader altcoin market.