The Federal Reserve rate cut is anticipated to trigger a massive crypto rally, but Santiment warns of risks with the “buy the rumor, sell the news” mentality. Ethereum hits an all-time high, while Bitcoin consolidates around $117,000. Social media conversations on “Fed,” “rate,” and “cut” peak, hinting at euphoria levels and potential market top.

Bitcoin’s blockchain metrics show a neutral-to-cautious outlook, with positive funding rates and growing supply accumulation on exchanges. Ethereum’s MVRV metrics suggest caution as it nears a “danger zone.” Analysts predict Ethereum could surpass $5,000, but market stability hinges on Federal Reserve narrative.

Bitcoin struggles to sustain levels above $120,000, with Fibonacci retracement levels under pressure. A breakdown from the ascending trendline indicates a potential downward trend towards $108,000–$104,000. Ethereum consolidates near $4,740, potentially declining to $4,600 before aiming for $5,006 and $5,210 resistance levels.

Read more at Yahoo Finance: Rising Fed Rate Cut Chatter May Be Risky for Crypto, Santiment Warns