Ethereum (ETH), the flagship altcoin, has achieved a significant milestone, reaching a new record high for the first time in nearly four years. The cryptocurrency surged to a peak of $4,885 at 21:08 UTC on the Bitstamp exchange, marking an impressive increase of more than 15% in a single day. This latest surge in ETH's value has led to a notable shift in the broader crypto market, with Bitcoin's dominance plunging to 56.5%, according to CoinGecko data.

The catalyst for Ethereum's substantial rally was an explicit signal from Federal Reserve Chairman Jerome Powell, indicating that a rate cut is anticipated next month. This announcement was met with an immediate and strong reaction across the crypto market. The rapid price movement resulted in significant market activity, including the liquidation of a substantial volume of short positions. CoinGlass data revealed that a staggering $287 million worth of ETH shorts were wiped out over a 24-hour period, a figure significantly higher than the $67 million in Bitcoin shorts liquidated during the same timeframe. Notably, a single $10 million ETH liquidation order was executed on the OKX exchange.

Looking ahead, the market is buzzing with speculation about Ethereum's potential to reach the $5,000 mark. According to Polymarket bettors, there is a 74% chance that ETH will hit this much-coveted level by August. Furthermore, the odds of the altcoin surging to $5,400 during the last week of August stand at 29%, while the possibility of ETH reaching $10,000 in 2025 is currently at 16%.

The new historic price peak also drew comments from prominent figures in the financial and crypto communities. Peter L. Brandt, a veteran commodity trader who has been active since the mid-1970s and is also involved with Bitcoin, acknowledged the