Ethereum surged past its November 2021 record on August 22, touching $4,866 to $4,885 on Coinbase after Federal Reserve Chair Jerome Powell hinted at a September rate cut. Ether jumped nearly 15% in 24 hours, well ahead of Bitcoin's roughly 4% gain, and some data providers later logged an intraday high near $4,953.
Ether broke through its four-year price ceiling on August 22, trading as high as $4,885 on Coinbase and clearing the roughly $4,878 peak it set in November 2021. Its most loyal holders had waited nearly four years for that moment.
The Powell effect
The rally was not driven by a new DeFi protocol or an Ethereum-specific announcement. Federal Reserve Chair Jerome Powell sparked it at the Jackson Hole symposium by hinting at a possible interest rate cut in September. Within 24 hours of his remarks, ether rose nearly 15%, while Bitcoin gained about 4% over the same span.
Various data providers later put the day's absolute high between $4,946 and $4,953, pushing ether even further past its old record.
Why this rally differs from 2021
The last time ether traded this high, near-zero rates and stimulus checks were fueling a speculative boom that ended in the collapse of Terra/Luna and the FTX implosion. This time, ether had already climbed 45% year-to-date before the latest surge, and the network itself has changed: its shift to proof-of-stake has cut issuance and energy use since 2021. Corporate treasury purchases and growing inflows into ether-based ETFs also point to a buyer base that has matured beyond the retail speculation of the previous cycle.
What traders are watching next
A 15% daily move cuts both ways, creating opportunity alongside risk, and it raises the question of whether ether can keep outperforming Bitcoin or whether the gap will narrow. Institutional flows into ether ETFs are the figure to watch in the coming weeks: accelerating inflows would suggest the rally has staying power beyond Powell's macro trigger, while flat or declining flows would suggest it is running on retail enthusiasm alone, a pattern that has historically been less durable.
Source: Crypto Briefing
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