ETH Volatility Analysis for Fed Interest Rate, 28th April 2021

Data Analysis

The release

Released by the Federal Open Market Committee on 28 April 2021 at 2:00 PM EDT. The Federal Open Market Committee held its target range for the federal funds rate at 0.00–0.25%.

Measured by Clometrix

Ethereum's volatility ratio was 1.33x, against 4.18x for a typical Fed Interest Rate release since 2021. Its volume ratio was 1.11x, against a typical 7.50x. Under 1.5x is not a reaction at all: the market barely noticed this release. 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.

How Ethereum moved

Ethereum was at $2,712.85 when the figure came out. Fifteen minutes later it was 0.51% higher, and an hour later 0.42% higher. Its high-to-low range in the hour after was 1.14% of its price, against 1.1% in the hour before.

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 held it. Its own ratio of 1.33x compares with 3.49x for those, so it moved the price less than its circumstances would suggest.

What it means

The Federal Open Market Committee left its target range for the federal funds rate unchanged at 0.00 to 0.25 percent. Ethereum registered a volatility ratio of 1.33x in the quarter hour after the announcement, well below the 4.18x median recorded for Fed Interest Rate releases since 2021. Volume barely moved, posting a 1.11x ratio against a typical 7.50x. Both readings fall below the 1.5x threshold that Clometrix associates with any noticeable market reaction.

Context of a rate hold

Since 2021, releases that altered the target range have produced a median volatility ratio of 5.50x for Ethereum, compared with 3.49x when the range was left unchanged. The 1.33x outcome on this occasion therefore sits below the historical pattern for holds. Price action remained contained, rising 0.51 percent in the first fifteen minutes and 0.42 percent after one hour, while the hourly high-to-low range widened only to 1.14 percent from 1.1 percent beforehand.

Traders can note that this particular decision arrived without updated projections or a dot plot. The muted response aligns with the broader record that unchanged policy statements tend to coincide with smaller price ranges than those that shift the target range. Future releases of the same type may therefore warrant attention mainly when the statement signals an actual change in the funds rate.

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

2,616.87

Close

2,718.18

24h Change

101.31 (3.73%)

24h High

2,760.00

24h Low

2,559.44

24h Volume

989,084 ETH

US Federal Reserve Interest Rate Decision

Federal Open Market Committee

28th April, 2021, 2:00PM Timezone: America/New York

Chart Data from Binance

Observations

Time Open High Low Close Change Amplitude Volume
 
1 Minute
Before2711.052713.502710.882712.840.07%0.10%277 ETH
During2712.852719.602712.842714.270.05%0.25%687 ETH
 
5 Minutes
Before2710.372713.712709.002712.840.09%0.17%1,041 ETH
During2712.852720.832710.002718.440.21%0.40%2,730 ETH
 
10 Minutes
Before2711.542713.712706.182712.840.05%0.28%3,209 ETH
During2712.852729.012710.002726.130.49%0.70%4,999 ETH
 
15 Minutes
Before2723.192723.712706.182712.84-0.38%0.64%5,754 ETH
During2712.852737.312710.002726.750.51%1.00%9,342 ETH
 
30 Minutes
Before2726.282730.002706.182712.84-0.50%0.87%14,504 ETH
During2712.852737.882710.002727.280.53%1.02%16,512 ETH
 
1 Hour
Before2716.532730.002700.182712.84-0.14%1.09%28,370 ETH
During2712.852737.882707.002724.200.42%1.13%28,855 ETH
 
2 Hours
Before2681.022730.002667.552712.841.17%2.29%64,857 ETH
During2712.852744.002707.002737.970.92%1.35%62,303 ETH
 
4 Hours
Before2705.252730.002658.042712.840.28%2.64%154,096 ETH
During2712.852760.002665.552755.671.55%3.42%179,357 ETH
 
6 Hours
Before2692.052734.962658.042712.840.77%2.81%278,125 ETH
During2712.852760.002665.552748.241.29%3.42%234,131 ETH
 
8 Hours
Before2616.872734.962559.442705.243.27%6.42%407,396 ETH
During2705.252760.002658.042755.671.83%3.69%333,453 ETH
 
12 Hours
Before2616.872734.962559.442712.843.54%6.42%561,492 ETH
During2712.852760.002665.552718.180.20%3.42%427,592 ETH

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