Ethereum investment products recorded net inflows of $29.64 million for the seventh consecutive week.
The growing adoption of stablecoins is reshaping institutional narratives about public blockchains, increasing interest in Ethereum ETFs.
Invesco filed with the SEC to allow staking in its Ethereum ETF, with SEC approval potentially driving further inflows.
ETH is retesting ascending trendline resistance after failing to break through it three times.
Ethereum (ETH) investment products maintained their inflow momentum last week, likely driven by shifting narratives around public blockchains and heightened anticipation of SEC approval for staking in ETH ETFs.
Ethereum ETFs Gain Momentum Amid Changing Public Blockchain Narratives
According to CoinShares data, global Ethereum-related investment products saw net inflows of $29.64 million last week. These products have now recorded inflows for seven consecutive weeks, totaling $1.5 billion.
"This represents the strongest inflow since the U.S. elections last November and marks a significant recovery in investor sentiment," wrote James Butterfill, CoinShares' Head of Research, in Monday's report.
U.S. spot Ethereum ETFs—led by BlackRock’s iShares Ethereum Trust (ETHA)—accounted for most inflows, bringing in $28.13 million and extending their inflow streak to 15 consecutive days.
Bernstein analyst Gautam Chhugani attributes ETH ETF inflows to growing attention on stablecoins and tokenization from U.S. lawmakers and major fintech players like Visa, Mastercard, and Stripe.
In a Monday note to investors, analysts highlighted that the potential widespread adoption of stablecoin payments is reshaping investor perceptions of public blockchain networks like Ethereum and their native cryptocurrencies.
"Investors often tell us—crypto is useless, but blockchain is valuable. But that's not mutually exclusive," the analysts wrote.
"If you believe in stablecoin-based payment innovation, why wouldn’t Ethereum—the network that mints stablecoins and processes transactions—have value? Any company using stablecoin technology pays transaction fees to Ethereum. Now there’s utility and value accumulation. We believe the narrative around public blockchain value accumulation is at a key inflection point, reflected in investor interest in Ethereum ETF inflows," they added.
This prediction comes as the U.S. Senate prepares to vote on the GENIUS Act, which would regulate stablecoins, in the coming weeks.
ETH ETF inflows may also stem from heightened anticipation of SEC approval for staking in U.S. spot ETH ETFs, particularly after the SEC’s Corporate Finance Division stated on May 29 that certain staking activities fall outside securities law.
On Monday, Cboe BZX filed with the SEC to allow staking in the Invesco Galaxy Ethereum ETF, joining firms like Fidelity, Grayscale, Bitwise, and 21Shares awaiting regulatory approval.
"Based on discussions with sponsors, the Exchange proposes amending portions of the Ethereum ETP Amendment No. 1 to permit staking of Ethereum held by the Trust," the filing stated.
Meanwhile, the Ethereum Foundation (EF) is undergoing restructuring, establishing new financial policies and protocol research teams.
Ethereum Price Prediction: ETH Retests Ascending Trendline Resistance
According to Coinglass data, Ethereum futures saw $21.4 million in liquidations over the past 24 hours, with $300,000 in long positions and $21.07 million in short positions liquidated.
Over the past three days, the leading altcoin broke through ascending trendline resistance after facing rejection. If ETH sustains above this trendline, it could challenge the $2,750–$2,850 resistance zone. The 200-day Simple Moving Average (SMA) also acts as dynamic resistance, suppressing prices since May 13. ETH must breach this level to initiate its next uptrend.
👉 ETH/USDT Daily Chart Analysis
On the downside, ETH may find short-term support near $2,400. Further below, the $2,250–$2,100 range—supported by the 50-day SMA—could provide strong support if ETH falls below $2,400.
The Relative Strength Index (RSI) remains above neutral and is approaching its moving average. Meanwhile, the Stochastic Oscillator is rising toward its midpoint. Crosses above their respective moving averages and neutral levels could strengthen ETH’s bullish momentum.
FAQ Section
1. Why are Ethereum ETFs seeing continuous inflows?
Growing interest in stablecoins, institutional adoption, and anticipation of SEC approval for Ethereum staking in ETFs are driving inflows.
2. What is the significance of staking in Ethereum ETFs?
Staking allows investors to earn passive income by locking up ETH to secure the network. SEC approval could attract more institutional capital.
3. What key resistance levels should ETH traders watch?
The $2,750–$2,850 range and the 200-day SMA are critical resistance zones. A breakout could signal a stronger bullish trend.
👉 Explore More Ethereum Market Insights
4. What factors could negatively impact ETH’s price?
Regulatory uncertainty, macroeconomic downturns, or failure to sustain above key support levels could pressure ETH’s price.
5. How does stablecoin adoption affect Ethereum’s value?
Increased stablecoin usage boosts transaction fees and demand for ETH, reinforcing Ethereum’s utility and value proposition.