Data Analysis
Measured by Clometrix
Ethereum's volatility ratio was 5.52x, against 4.18x for a typical Fed Interest Rate release since 2021. Its volume ratio was 14.99x, against a typical 7.50x. That is a strong 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.
How Ethereum moved
Ethereum was at $2,704.95 when the figure came out. Fifteen minutes later it was 1.82% lower, and an hour later 1.06% lower. Its high-to-low range in the hour after was 3.08% of its price, against 1.44% in the hour before.
The release
Released by the Federal Open Market Committee on 16 March 2022 at 2:00 PM EDT. The Federal Open Market Committee raised its target range for the federal funds rate by 25 basis points, to 0.25–0.50%.
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 5.52x compares with 5.50x for those, about what 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 strong reaction to the March 2022 Federal Open Market Committee decision. The volatility ratio reached 5.52x against the 4.18x median recorded across 46 Fed Interest Rate releases since 2021. Volume expanded to 14.99x compared with the 7.50x typical level. The outcome aligned with the pattern that rate changes have produced larger moves than holds, which show a median volatility ratio of 5.50x versus 3.49x.
The release raised the target range by 25 basis points to 0.25-0.50 percent. Ethereum stood at $2,704.95 at the 2:00 PM EDT announcement. It fell 1.82 percent within fifteen minutes and 1.06 percent within the hour, while the high-to-low range widened to 3.08 percent from 1.44 percent in the preceding hour. These figures placed the reaction at the level Clometrix classifies as strong for this event.
This release produced a comparable 5.52x outcome, consistent with the circumstances of an actual adjustment rather than a hold, and the record supplies no basis for expecting identical magnitude on the next release.
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
2,628.29Close
2,760.0824h Change
131.79 (4.77%)24h High
2,788.0024h Low
2,626.1324h Volume
569,217 ETHUS Federal Reserve Interest Rate Decision
Federal Open Market Committee
16th March, 2022, 2:00PM Timezone: America/New York
Chart Data from Binance
Observations
| Time | Open | High | Low | Close | Change | Amplitude | Volume |
|---|---|---|---|---|---|---|---|
| 1 Minute | |||||||
| Before | 2698.61 | 2705.00 | 2698.27 | 2704.95 | 0.23% | 0.25% | 1,658 ETH |
| During | 2704.95 | 2704.96 | 2672.00 | 2684.89 | -0.75% | 1.22% | 7,465 ETH |
| 5 Minutes | |||||||
| Before | 2696.47 | 2705.00 | 2690.82 | 2704.95 | 0.31% | 0.52% | 3,385 ETH |
| During | 2704.95 | 2716.27 | 2665.02 | 2667.20 | -1.42% | 1.89% | 31,758 ETH |
| 10 Minutes | |||||||
| Before | 2701.13 | 2705.00 | 2690.82 | 2704.95 | 0.14% | 0.52% | 5,614 ETH |
| During | 2704.95 | 2716.27 | 2644.22 | 2655.02 | -1.88% | 2.65% | 51,419 ETH |
| 15 Minutes | |||||||
| Before | 2704.60 | 2705.91 | 2690.82 | 2704.95 | 0.01% | 0.56% | 6,580 ETH |
| During | 2704.95 | 2716.27 | 2644.22 | 2655.72 | -1.85% | 2.65% | 57,204 ETH |
| 30 Minutes | |||||||
| Before | 2692.85 | 2712.64 | 2690.82 | 2704.95 | 0.45% | 0.80% | 12,427 ETH |
| During | 2704.95 | 2716.27 | 2644.22 | 2653.80 | -1.93% | 2.65% | 69,646 ETH |
| 1 Hour | |||||||
| Before | 2691.02 | 2712.64 | 2673.74 | 2704.95 | 0.51% | 1.43% | 20,540 ETH |
| During | 2704.95 | 2716.27 | 2632.91 | 2676.37 | -1.07% | 3.07% | 96,095 ETH |
| 2 Hours | |||||||
| Before | 2704.48 | 2723.28 | 2673.74 | 2704.95 | 0.02% | 1.82% | 51,493 ETH |
| During | 2704.95 | 2756.03 | 2632.91 | 2753.17 | 1.75% | 4.47% | 153,942 ETH |
| 4 Hours | |||||||
| Before | 2684.39 | 2724.07 | 2671.99 | 2704.95 | 0.76% | 1.91% | 122,831 ETH |
| During | 2704.95 | 2788.00 | 2632.91 | 2765.74 | 2.20% | 5.56% | 210,568 ETH |
| 6 Hours | |||||||
| Before | 2688.11 | 2724.07 | 2662.05 | 2704.95 | 0.62% | 2.28% | 151,416 ETH |
| During | 2704.95 | 2788.00 | 2632.91 | 2773.81 | 2.48% | 5.56% | 233,110 ETH |
| 8 Hours | |||||||
| Before | 2628.29 | 2703.66 | 2626.13 | 2684.39 | 2.09% | 2.87% | 132,550 ETH |
| During | 2684.39 | 2788.00 | 2632.91 | 2765.74 | 2.94% | 5.56% | 333,399 ETH |
| 12 Hours | |||||||
| Before | 2628.29 | 2724.07 | 2626.13 | 2704.95 | 2.83% | 3.60% | 255,382 ETH |
| During | 2704.95 | 2788.00 | 2632.91 | 2760.08 | 2.00% | 5.56% | 313,835 ETH |
