Ethereum’s $71M ETF Lifeline: Enough to Stop the Bleeding?

Another week, another crypto rollercoaster—this time with institutional money riding shotgun. Fresh ETF inflows suggest Wall Street hasn’t abandoned ship yet, but will $71 million really move the needle for ETH?

Let’s cut through the hopium: while ETF flows signal some institutional faith, Ethereum’s price action still dances to the tune of macro headwinds and that pesky ’greater fool’ theory. Traders are watching key support levels like hawks—because nothing gets the blood pumping like a good old-fashioned liquidity test.

Funny how a $71 million inflow makes headlines when retail traders lose that much to gas fees before breakfast. The market giveth, and the market makers taketh away.

TLDR

• Ethereum (ETH) experienced a fresh decline from $2,780 resistance, now trading below $2,650
• ETH ETFs saw $71.3 million in inflows led by BlackRock with $32.5 million on May 27
• Ethereum leads all networks in bridged net flows and stablecoin supply growth
• Price faces key support at $2,550 with potential for further decline if broken
• Technical indicators show bullish momentum with RSI at 70.47 but approaching overbought territory

Ethereum price action shows conflicting signals as institutional money flows in while technical indicators point to potential downside pressure.

The cryptocurrency started a fresh decline from the $2,780 resistance zone. ETH now trades below $2,650 after breaking through several support levels.

The price moved below the 100-hourly Simple Moving Average. A key bullish trend line with support at $2,625 was also broken on the hourly chart.

ETF Inflows Drive Institutional Interest

Ethereum ETFs experienced strong inflows of $71.3 million recently. BlackRock led the charge with $32.5 million in a single day on May 27.

This represented one of the highest daily inflows since ETF launch. The ETHA and FETH funds drove most of the capital influx.

$ETH ETF inflow + $38,800,000 yesterday.

Blackrock bought another $32,500,000. 🔥 pic.twitter.com/CT1Uktbr6X

— Ted (@TedPillows) May 28, 2025

The positive flows followed net inflows during the third week of May. Earlier volatility came from outflows by Fidelity and Franklin.

Ethereum dominates bridged net flows across all networks. The blockchain also leads in stablecoin supply growth according to Artemis data.

The dual leadership suggests rising usage across DeFi protocols. This reinforces Ethereum’s position as the foundational LAYER 1 blockchain.

Technical Levels Point to Potential Weakness

ETH price dipped below the 50% Fibonacci retracement level. This measured the MOVE from the $2,463 swing low to the $2,787 high.

Current resistance sits NEAR $2,625 on any bounce attempt. The next key resistance level comes at $2,650.

Major resistance appears at $2,720. A clear break above this level could send prices toward $2,780.

An upside break above $2,780 might trigger further gains. ETH could rise toward $2,880 or even $2,950 in that scenario.

Downside support sits at $2,600 initially. The first major support zone comes at $2,550.

This $2,550 level aligns with the 76.4% Fibonacci retracement. A break below could push prices toward $2,500 support.

Further losses might send ETH toward $2,440. The next key support sits at $2,400.

Current price hovers around $2,708 approaching recent local highs. The RSI climbed to 70.47 showing strong buying pressure.

The indicator sits at the edge of overbought territory. This suggests potential for short-term consolidation.

Chaikin Money FLOW remained positive at 0.15. This indicates steady capital inflows continue.

A close above $2,720 with sustained volume could trigger a breakout toward $2,900.