Sudden 7% Increase in Value of ETH and XRP Within a Short Timeframe Explained

In a significant development for the cryptocurrency market, Ethereum (ETH) and Ripple-linked cryptocurrency, XRP, have experienced a notable surge in prices. This upward trend comes in response to Federal Reserve Chair Jerome Powell signalling interest rate cuts due to "shifting economic risks."

The flagship altcoin, Ethereum, has reached an intraday high of $4,652 on the Bitstamp exchange, marking a new all-time high for the cryptocurrency for the first time since 2021. This surge has brought Ethereum within striking distance of a potential $5,000 milestone in September, as suggested by some analysts.

Peter Brandt, a legendary trader, has expressed his approval of the new Ethereum all-time high, labelling it as 'powerful.'

Meanwhile, XRP has reclaimed the $3 level, following the trend set by Ethereum.

The prices of both Ethereum and XRP have soared sharply higher, with ETH and XRP adding more than 7% in mere minutes following Powell's dovish pivot. This bullish sentiment is shared by analysts such as Arthur Hayes, who sees the Federal Reserve's rate-cut signal as a positive indicator for Ethereum and XRP.

Tom Lee, of Fundstrat, also believes that Powell's speech was bullish for major cryptocurrencies and small caps. The odds of a September rate cut have surged, reaching over 80% on the Polymarket platform following Powell's speech.

It's important to note that there is no mention of any specific catastrophic signal regarding Bitcoin or RSI growth requirements for XRP. Bitcoin has also reclaimed the $115,000 level, indicating a positive overall trend for the cryptocurrency market.

As the cryptocurrency market continues to evolve, it will be interesting to see how Ethereum and XRP perform in the coming days and weeks. The potential for further growth, especially with the promise of interest rate cuts, could make this an exciting time for investors in these cryptocurrencies.