🇺🇸 The U.S. Treasury just bought back $12.5 BILLION of its own debt — the largest buyback ever recorded.
Why this matters:
This fresh injection of liquidity follows:
Even the only risk factor — a potential Bank of Japan rate hike — is softened by Japan’s $185B stimulus package announced simultaneously.
All of this sets a bullish tone for Q1–Q2 2026, and crypto is already reacting.
$Ethereum bounced cleanly from the key support zone around $2,730, forming a strong V-shaped recovery.
ETH/USD 1-hour chart - TradingView
$ETH is now consolidating right on this level — a strong sign that buyers are defending the breakout rather than taking profits.
The Stoch RSI shows a pullback from overbought conditions, which usually happens after a powerful leg up. This isn’t bearish — it often precedes the next wave.
The $3,200 level is now the line to watch.
With liquidity expanding and BTC holding above $90K:
1. $3,350 – Minor resistance: A retest of this zone is likely if BTC stays stable.
2. $3,500 – Major target: This is the next significant resistance level on the chart — marked previously as a local top. A break above $3,500 opens the door to:
3. $3,800 – Extension target: This would require strong BTC momentum and sustained liquidity inflows.
Should ETH lose the $3,200 area:
1. $3,050 – Local support: Likely to be tested if momentum cools.
2. $2,900 – Strong support: The level where buyers previously stepped in aggressively.
3. $2,730 – Major support zone: This is ETH’s resilience line — losing it would weaken the trend.
At the moment, none of these downside levels are being threatened.
Ethereum tends to perform strongly after Bitcoin stabilizes from a correction. Over the past 48 hours:
With BTC regaining dominance and momentum, ETH traders rotated back into the market.
Historically:
BTC stability + macro liquidity = ETH acceleration
This is exactly what we’re seeing now.