Ethereum Eyes New Highs as Interest Rates Decline

Liquid Capital founder Yi Lihua announced on platform X that Ethereum aims to exceed $10,000 after reaching historical highs, amid bullish trends and an interest rate cut cycle.

Ethereum’s potential surge above $10,000 signals significant shifts in crypto dynamics, reflecting its consistent outperformance against Bitcoin and influencing mainstream assets like Solana and Litecoin.

Ethereum Poised for $10,000 Milestone Amid Rate Cuts

Yi Lihua’s statement predicts Ethereum (ETH) to exceed $10,000 as interest rates decline. He highlights ETH’s pattern of outperforming Bitcoin (BTC) during previous rate cut cycles. Additionally, mainstream coins like Solana (SOL) and Litecoin (LTC) are expected to experience rallies.

Market dynamics may shift as investors focus on ETH and ecosystem tokens, such as ENA and Uniswap (UNI). This could inspire a renewed interest in decentralized finance (DeFi) protocols and layer-1 solutions, fueling volatility and potential market growth.

Industry reactions have been varied. In his statement, Yi Lihua advises against shorting ETH during pullbacks. “As we expected, after ETH broke the historical high, the next target is to reach a new high against BTC… Do not short. Accumulate during pullbacks…” ChainCatcher His call to explore off-market income and avoid high leverage highlights the asset’s recognized cyclical strength, as market bullishness remains.

ETH Historical Outperformance Paves Way for Institutional Interest

Did you know? Historically, during periods of central bank rate cuts, Ethereum has shown a tendency to outperform Bitcoin, often leading to increased interest and investment within the DeFi sector.

As of August 23, 2025, Ethereum (ETH) is priced at $4,755.24 with a market cap of $573,991,969,771. Its 14.40% market dominance reflects strong investor confidence. Despite a daily decline of 1.02%, ETH has surged 88.93% over 90 days, according to CoinMarketCap.

The Coincu research team notes that Ethereum’s historical outperformance during rate cuts could drive institutional interest and regulatory review. As interest rates shift, the financial landscape for decentralized technologies may evolve, validating Ethereum’s long-term prospects with potential increased adoption and integration.