Fusaka upgrade and Fed pivot fuel ETHUSD buying case

Ethereum (ETHUSD) has been on a tear lately, blowing past the key $3,200 threshold. This rally gained momentum from the successful Fusaka network upgrade on December 3. The update is a game-changer for the industry, utilizing PeerDAS tech to seriously boost speed and slash transaction fees. This brings a whole new level to ETH functionality for developers and everyday users alike. 

Such a fundamental leap is hitting the market just at the right time. The stars are aligning with the Federal Reserve (Fed), where investors are betting big—about a 90% chance—for a December rate cut. That's a green light for risky assets like cryptos.

Major players also started to pay attention to Ethereum. The number of crypto whales holding the token has grown over the last month, which is a solid vote of confidence from industry leaders.

Meanwhile, the cash pile in decentralized finance (DeFi) keeps climbing the ladder, hitting $73 billion even as funds trickle out of crypto ETFs. There is a bit of a shift under the hood—more action is moving off Ethereum's main street to the side one, i.e., Layer 2 solutions. While this could put a damper on the token burn over the long haul, a new rule is turning the tables: every transaction on these side roads adds to ETH deflationary pressure too. This clever move keeps the main crypto from being left behind as the entire ecosystem grows.

The technicals are now singing the same bullish tune. The price is holding its ground above where it opened and is currently knocking on the door of the upper Bollinger Band, which indicates strong momentum. Simultaneously, the Chaikin Oscillator confirms the story, showing money is flowing in. No doubt, quotes might take a little breather after this run—a slight pullback is about to take place as major players reload. However, a dip back toward support around $3,120 could be a golden opportunity to get in before the next leg up.

For your trading, consider the strategy outlined down below:

Buy at the current price. Place Take profit at $3,570. Set Stop loss at $2,980.

This forecast is valid from December 4 till December 11, 2025.