Ethereum ETFs See $109.5 Million Inflows in Single Day Amid Bullish Indicators

Ethereum, despite recent price declines, is showing several bullish indicators that suggest an impending rally. A prominent crypto analyst, known as Unipcs or "Bonk Guy," has highlighted key factors that could drive a significant price increase for ETH. One of the most notable trends is the consistent inflow into Ethereum exchange-traded funds (ETFs). According to data, ETH ETFs have experienced 15 consecutive days of positive inflows, with BlackRock’s ETHA leading the way with $35.2 million in a single day, followed by Fidelity’s FETH with $12.9 million, and Grayscale’s ETH with $4.6 million. On June 3 alone, ETH ETFs recorded a massive $109.5 million in inflows, marking the highest single-day inflow for Ethereum ETFs so far this month.

Institutional adoption of Ethereum as a treasury asset is also on the rise. SharpLink Gaming recently closed a $425 million private placement, led by ConsenSys Software Inc, to implement one of the largest Ethereum treasury strategies in public markets. This move signals growing corporate confidence in ETH, similar to the Bitcoin-focused approach seen with MicroStrategy. Additionally, regulatory signals suggest that ETH staking could soon be allowed in ETF structures, which could unlock significant institutional inflows and act as a major bullish catalyst for Ethereum.

Another factor contributing to the bullish outlook is the potential for a short squeeze. Many funds and traders are currently shorting ETH, and if the price reverses upward, it could trigger a short squeeze, amplifying gains as traders rush to cover positions. Weekly active Ethereum addresses have hit record highs, indicating surging user engagement and strengthening the case for long-term growth. Furthermore, the supply of Ethereum on exchanges is shrinking rapidly, a sign that traders are moving assets to cold storage or staking, reducing sell pressure. Notable 30-day ETH outflows include Bitfinex with -572,946 ETH, Coinbase Pro with -2,149 ETH, OKX with -13,627 ETH, Kraken with -6,428 ETH, and Bithumb with -19,572 ETH. In total, top exchanges including Binance and Coinbase saw a combined decline of over 261,000 ETH.

The Ethereum ecosystem is also expanding, with over 34.6 million ETH now staked, locking up a significant portion of the supply. Layer 2 networks like Base are showing explosive growth, pointing to increasing scalability and mainstream adoption. The Ethereum Foundation's restructuring, including the establishment of new treasury policies and protocol research teams, further bolsters confidence in the network's future. Additionally, the growing interest in stablecoins and tokenization from major financial institutions and regulatory bodies is reshaping investor sentiment towards Ethereum.

Technical analysis also supports a bullish outlook for Ethereum. The cryptocurrency has been retesting a rising trendline resistance, and if it maintains a firm move above this level, it could tackle the $2,750 - $2,850 resistance range. The 200-day Simple Moving Average (SMA) stands as a dynamic resistance, and clearing this level could initiate the next uptrend. On the downside, short-term support is near $2,400, with stronger support in the $2,250 - $2,100 range. The Relative Strength Index (RSI) and Stochastic Oscillator (Stoch) are also indicating bullish momentum, with the RSI above the neutral level and the Stoch rising towards its neutral level.

The altseason sentiment, characterized by a surge in altcoins, including Ethereum, further supports the bullish outlook. Ethereum's price has shown resilience, trading above the $2,400–$2,500 zone. If demand rises, ETH could breach the immediate resistance at $2,749, potentially setting the stage for a rally toward $3,069 and beyond. The overall market sentiment, driven by institutional adoption, ETF inflows, and regulatory clarity, suggests that Ethereum is poised for a significant price rally in the near future.