Main Points：
- Recent inflows into Ethereum ETFs point to renewed institutional demand
- On-chain metrics, including TVL growth, reinforce strong network fundamentals
- Technical analysis shows a bullish flag pattern targeting $2,100
- Risks include potential resistance at $1,800 and macroeconomic headwinds
Institutional Demand Revives: ETF Inflows Surge
In late April 2025, Ethereum-based exchange-traded funds (ETFs) saw a significant uptick in net inflows, signaling that institutional investors are once again allocating capital to ETH. Data from SoSoValue reports a $64.1 million net inflow into spot ETH ETFs on April 28, marking the highest single-day figure since early spring. Over the prior week, CoinShares noted $183 million in net inflows into Ethereum investment products, ending eight straight weeks of outflows and underscoring a shift in sentiment among larger market participants. James Butterfill, Head of Research at CoinShares, attributes this resurgence to concerns over tightening monetary policy and a weakening U.S. dollar, which collectively have driven demand for digital assets as alternative safe havens.
Institutional buying not only absorbs supply but can also ignite further retail interest, creating a positive feedback loop. With some ETFs now trading at slight premiums to NAV, the data suggests allocators are willing to pay up for exposure, bolstering ETH prices in the spot market.
On-Chain Fundamentals: TVL and Network Activity Climb
Beyond capital markets, Ethereum’s core network activity has rebounded decisively. According to DeFiLlama, total value locked (TVL) across all Ethereum-based decentralized finance (DeFi) protocols climbed to $51.8 billion at the end of April—a 16% week-over-week increase. Key contributors included Aave (up 13.5%), Lido (12%), EigenLayer (13%), and Ether.fi (12%). This growth reaffirms Ethereum’s dominance as the premier Layer 1 platform for smart contracts and DeFi innovation.
Daily decentralized exchange (DEX) volumes on Ethereum also saw a 30% increase, reaching $1.65 billion per day. While networks like SUI and Solana recorded higher relative growth, Ethereum’s absolute DEX volume remains by far the largest in the ecosystem. Rising on-chain activity indicates renewed interest from both builders and users, strengthening the bullish case for ETH as the network continues to onboard new applications and liquidity.
Technical Outlook: Bull Flag Targets $2,100
Ethereum’s price action has carved a classic bullish flag pattern on the 4-hour chart. After climbing to $1,860 on April 28—its highest level since April 2—the token experienced a brief consolidation before breaking above the $1,800 resistance zone with clear bullish momentum. In technical terms, the measured move from the flag suggests a target price of approximately $2,100, representing a potential 15% upside from current levels.
Additional indicators, such as the Relative Strength Index (RSI) holding around 60, imply sustained buying pressure. Should ETH maintain a close above $1,800 on shorter time frames, momentum traders may pile in, further fueling the rally. However, a failure to hold this level could see a retest of support near $1,600, where buyers previously stepped in.
Potential Headwinds: Macro Risks and Resistance Levels
Despite the positive outlook, several risks could temper Ethereum’s ascent. First, macroeconomic data releases—such as U.S. inflation figures or Federal Reserve policy statements—may trigger volatility, especially if the dollar strengthens unexpectedly. Institutional investors, sensitive to broader economic signals, could rotate out of crypto during risk-off events.
Second, the $1,800 area has historically served as both support and resistance. If selling pressure mounts at this juncture, ETH might consolidate or even retrace to the $1,600-$1,650 zone. Traders should watch volume profiles closely; declining volumes on rallies could hint at weakening demand.
Broader Trends: Merge Aftermath and Layer-2 Expansion
Ethereum’s transition to proof-of-stake—completed with the “Merge”—continues to unlock staking yields as a driver for long-term holding. Currently, staking rewards hover around 4% annually, incentivizing institutional and retail participation. Meanwhile, Layer-2 solutions like Arbitrum, Optimism, and zkSync are scaling Ethereum’s capacity, lowering transaction fees and attracting new users. These developments enhance Ethereum’s utility while mitigating congestion, factors likely to underpin medium-term price appreciation.
Conclusion
All signs point toward a renewed bull run for Ethereum. Robust ETF inflows demonstrate that institutions are back in the market, while on-chain metrics such as TVL and DEX volumes confirm that developers and users remain active. Technical analysis highlights a clear path to $2,100, contingent upon holding above critical levels. Yet, investors should remain vigilant against macroeconomic surprises and resistance near $1,800. If Ethereum can navigate these challenges, the $2,000 threshold may soon fall, paving the way for fresh all-time highs in the months ahead.