Ethereum Hovers as US ISM PMI Data Raises Federal Reserve Concerns

The recent US ISM PMI data has Ethereum in a tricky situation. The reading of 54.5 is above 52, marking the ninth consecutive print in expansion territory. However, this strong economic data raises concerns for the Federal Reserve, as higher inflation expectations could complicate the rate path.

The Fed is faced with an unpleasant choice: hold rates and risk higher yields, or hike and potentially hurt economic growth. Ethereum's price, currently around $2,695, is holding the Monthly MA 50. Analyst AshCrypto points out that the 56 level is a key marker, as it was in 2017 and 2020-2021, when Ethereum rallied significantly.

While the current setup remains incomplete, a move toward 60 in the coming months could signal the start of another major Ethereum and altcoin cycle in 2027-2028. For now, Ethereum is waiting for the ISM signal to develop further.