Data Analysis
The release
Released by the Federal Open Market Committee on 7 November 2024 at 2:00 PM EST. The Federal Open Market Committee cut its target range for the federal funds rate by 25 basis points, to 4.50–4.75%.
How Ethereum moved
Ethereum was at $2,879.16 when the figure came out. Fifteen minutes later it was 0.11% higher, and an hour later 0.2% higher. Its high-to-low range in the hour after was 1.49% of its price, against 1.83% in the hour before.
Measured by Clometrix
Ethereum's volatility ratio was 2.04x, against 4.18x for a typical Fed Interest Rate release since 2021. Its volume ratio was 3.04x, against a typical 7.50x. That is a muted reaction by this release's own standard. Both compare the quarter hour of the release with an ordinary quarter hour that same day, where 1.00x is no change: volatility is how far the price ranged, volume how much traded.
What made it matter
Since 2021, Fed decisions that changed the rate have moved Ethereum more than those that held it: a median volatility ratio of 5.50x across 18, against 3.49x across 28. This one changed the rate. Its own ratio of 2.04x compares with 5.50x for those, so it moved the price less than its circumstances would suggest.
Its record
Across 46 Fed Interest Rate releases since 2021, Ethereum's median volatility ratio is 4.18x.
What it means
Ethereum posted a muted reaction to the Federal Reserve's 25 basis point rate cut announced on 7 November 2024. The price stood at $2,879.16 at the moment of release, then advanced 0.11 percent within fifteen minutes and 0.2 percent after one hour. Its high-to-low range narrowed to 1.49 percent in the post-release hour from 1.83 percent beforehand.
Clometrix recorded a volatility ratio of 2.04x for Ethereum, well below the 4.18x median across 46 prior Fed Interest Rate releases since 2021. Volume expanded only 3.04x against a typical 7.50x. Although rate-changing decisions have produced a 5.50x median volatility ratio in eighteen prior cases, this release fell short of that benchmark.
The subdued outcome shows that even an actual policy shift can fail to generate the price movement or turnover seen in comparable past events. Traders preparing for the next similar announcement may therefore watch both the size of any rate adjustment and the accompanying statement language, since the historical record indicates that neither factor alone guarantees elevated volatility.
About Federal Reserve Interest Rate Decision
The Federal Open Market Committee (FOMC) has eight regularly scheduled meetings each year, but they can meet more often if the need should arise. The meetings are not held in public and are therefore the subject of much speculation on Wall Street, as analysts attempt to predict whether the Fed will tighten or loosen the money supply with a resulting increase or decrease in interest rates.
Disclaimer
The data analysis, forecasted results and projections provided herein are based on historical price action and market trends. While every effort has been made to ensure the accuracy of the information, these predictions are speculative and should not be considered a guarantee of future performance. Market conditions can change rapidly, and past performance is not indicative of future results. Trading and investing involve significant risk, and you should conduct your own research and consult with a licensed financial advisor before making any investment decisions. We do not assume any liability for any losses that may result from reliance on this information.
ETH-USDT
Ethereum
Open
2,802.50Close
2,908.6324h Change
106.13 (3.65%)24h High
2,954.9424h Low
2,776.0024h Volume
572,566 ETHUS Federal Reserve Interest Rate Decision
Federal Open Market Committee
7th November, 2024, 2:00PM Timezone: America/New York
Chart Data from Binance
Observations
| Time | Open | High | Low | Close | Change | Amplitude | Volume |
|---|---|---|---|---|---|---|---|
| 1 Minute | |||||||
| Before | 2876.77 | 2883.13 | 2876.77 | 2879.17 | 0.08% | 0.22% | 569 ETH |
| During | 2879.16 | 2880.50 | 2870.12 | 2870.64 | -0.30% | 0.36% | 1,722 ETH |
| 5 Minutes | |||||||
| Before | 2875.71 | 2890.00 | 2872.99 | 2879.17 | 0.12% | 0.59% | 3,765 ETH |
| During | 2879.16 | 2893.80 | 2867.08 | 2868.99 | -0.35% | 0.92% | 7,843 ETH |
| 10 Minutes | |||||||
| Before | 2875.06 | 2890.00 | 2872.99 | 2879.17 | 0.14% | 0.59% | 5,957 ETH |
| During | 2879.16 | 2893.80 | 2865.40 | 2878.80 | -0.01% | 0.98% | 12,387 ETH |
| 15 Minutes | |||||||
| Before | 2867.81 | 2890.00 | 2867.81 | 2879.17 | 0.39% | 0.77% | 7,600 ETH |
| During | 2879.16 | 2893.80 | 2865.40 | 2882.42 | 0.11% | 0.98% | 14,670 ETH |
| 30 Minutes | |||||||
| Before | 2864.74 | 2890.00 | 2862.87 | 2879.17 | 0.50% | 0.94% | 17,721 ETH |
| During | 2879.16 | 2893.80 | 2858.19 | 2867.99 | -0.39% | 1.23% | 21,863 ETH |
| 1 Hour | |||||||
| Before | 2861.00 | 2890.00 | 2837.40 | 2879.17 | 0.63% | 1.82% | 30,141 ETH |
| During | 2879.16 | 2893.80 | 2850.99 | 2885.00 | 0.20% | 1.48% | 37,052 ETH |
| 2 Hours | |||||||
| Before | 2844.64 | 2890.00 | 2833.34 | 2879.17 | 1.20% | 1.96% | 60,239 ETH |
| During | 2879.16 | 2907.75 | 2850.99 | 2896.68 | 0.60% | 1.95% | 73,979 ETH |
| 4 Hours | |||||||
| Before | 2792.62 | 2890.00 | 2780.90 | 2879.17 | 3.01% | 3.78% | 119,486 ETH |
| During | 2879.16 | 2916.11 | 2850.99 | 2881.41 | 0.08% | 2.23% | 121,995 ETH |
| 6 Hours | |||||||
| Before | 2818.57 | 2890.00 | 2776.00 | 2879.17 | 2.10% | 3.94% | 170,542 ETH |
| During | 2879.16 | 2954.94 | 2850.99 | 2907.07 | 0.96% | 3.52% | 186,993 ETH |
| 8 Hours | |||||||
| Before | 2802.50 | 2830.00 | 2776.00 | 2792.62 | -0.35% | 1.91% | 148,117 ETH |
| During | 2792.62 | 2916.11 | 2780.90 | 2881.41 | 3.08% | 4.64% | 241,482 ETH |
| 12 Hours | |||||||
| Before | 2802.50 | 2890.00 | 2776.00 | 2879.17 | 2.66% | 3.94% | 267,603 ETH |
| During | 2879.16 | 2954.94 | 2850.99 | 2908.63 | 1.01% | 3.52% | 304,963 ETH |
