Ethereum achieved a new all-time high of $4,880 on August 22, 2025, linked to positive signals from the Fed and rising institutional interest.
Fed Signals of Rate Cuts
Signals from Federal Reserve Chair Jerome Powell regarding potential interest rate cuts have been pivotal in driving Ethereum's price surge.
Institutional Interest and Increasing DeFi Activity
Significant institutional interest in Ethereum has been observed, with major investors like BitMine Immersion and SharpLink Gaming accumulating millions of ETH since June 2025. This influx has contributed to increased spot ETF inflows reaching $9 billion, while the total value locked in Ethereum's DeFi protocols jumped to $97 billion, illustrating strong user engagement.
Experts' Price Forecasts for Ethereum
Experts such as Thomas Lee and Arthur Hayes predict that Ethereum could reach valuations of $10,000 to $20,000 due to macro liquidity and positive market momentum. As Hayes remarked, "The chart says it’s going higher, you can’t fight the market. I think [Ethereum] goes to $10,000, $20,000, before the end of the cycle."
The growing interest from institutional investors and positive signals from regulators are contributing to Ethereum's long-term growth, potentially solidifying its position in the global financial system.