Ethereum (ETH) is currently hovering around $4280, showing a slight decline compared to earlier. Despite Bitcoin having dropped nearly 8% last week, ETH still maintained a rebound of about 3% yesterday, demonstrating a certain level of resilience.

Tonight, the Federal Reserve's (Fed) decision is under close watch. The latest Fed meeting minutes indicate that while two officials lean towards an early rate cut of 25 basis points, the majority of members remain cautious. The market widely anticipates a rate cut in September, but no major actions are expected tonight.

If the Fed announces a rate cut, ETH may welcome a rebound; conversely, the market may fall into calmness, and the prosperity of the cryptocurrency market may need to wait for the next opportunity.

Optimists believe that large investors and institutions have begun to accumulate ETH, especially as staking rewards increase and market supply decreases. Once interest rate policies are relaxed and liquidity increases, ETH is expected to challenge the yearly high of over $4800, and may even drive the entire cryptocurrency market up.

Cautious individuals point out that ETH is currently facing technical pressure around the $4300 mark, with trend lines and the 100-hour moving average providing resistance. If the Fed maintains the current interest rates, ETH may pull back to the support level of $4100-$4200.

For investors, different strategies can be chosen based on their own risk preferences. Conservatives may wait for the Fed to make a clear signal of interest rate cuts before entering the market, while aggressive investors might consider positioning small long positions in the short term around $4200. Investors who are optimistic about blockchain technology in the long term may see below $4100 as an opportunity to increase their holdings.

No matter what decision the Fed makes tonight, this is not only a test for ETH but also a critical moment for the entire cryptocurrency market. Investors should closely monitor market trends and make informed decisions based on their own circumstances.