Ether Climbs Toward $3K on Hopes for U.S.–China Trade Deal and Cooler U.S. CPI Numbers

Ether Jumps to $2,873 on Trade Deal Optimism, Muted CPI Print Spurs $1.4B Surge in Spot Volume

Ether (ETH) rallied sharply on Wednesday, surging 5.6% to a 10-day high of $2,873 as cooling U.S. inflation data and a draft U.S.–China trade truce fueled renewed institutional demand and a broad risk-on sentiment.

The breakout came after days of quiet consolidation around $2,770, which was disrupted late Tuesday when negotiators in London outlined a preliminary U.S.–China agreement. The proposed deal—still awaiting confirmation by Presidents Trump and Xi—includes Chinese commitments to ramp up exports of rare earth materials and Washington’s relaxation of select tech-related sanctions.

Former President Trump amplified market optimism Wednesday morning by declaring the deal “done” via social media, touting tariff adjustments and new education/trade concessions. Global markets quickly responded: equity futures turned positive, bitcoin ticked up, and ether began climbing, with volume building into the New York open.

That momentum intensified just after 8:30 a.m. ET, when the U.S. Labor Department revealed that May’s Consumer Price Index (CPI) rose just 0.1% month-over-month—well below expectations. Both headline and core inflation cooled, reinforcing bets that the Federal Reserve could begin easing later this year.

In the wake of the data, ETH spiked from $2,780 to $2,873.46, with CoinDesk Research estimating over 527,000 ETH changed hands (~$1.47 billion in value), marking one of the highest spot volume sessions in weeks.

Institutional flows remain a powerful driver. Staked ETH climbed to an all-time high of 34.65 million, ETF inflows topped $900 million over 16 consecutive days, and futures open interest soared above $21.7 billion. BlackRock’s $500 million accumulation over the past 10 days further underscores deepening institutional conviction.

Market participants now eye a decisive close above $2,900 to confirm the next leg higher, with psychological resistance at $3,000 and possible upside toward $3,120. Support has firmed at $2,750–$2,760 after repeated tests held firm.

Technical Snapshot

Breakout Zone: ETH broke out from the $2,770-$2,800 channel after two weeks of sideways action.
Volume Signal: A CPI-led surge in volume confirmed breakout strength, with peak hourly activity near $1.5B.
Trend Pattern: Higher highs and higher lows intact since June 9; ETH now trades in an ascending channel.
Momentum: RSI above 60 suggests room for extension but flags the need for volume continuity above $2,900.
Watch Levels: Immediate support at $2,750–$2,760; next resistance targets at $2,900 and $3,120.