Ethereum Reclaims $2,700 Amid Institutional Inflows, 3-Month High

Ethereum has experienced a strong rally in recent weeks, surging over 50% in May and outperforming Bitcoin, which gained about 15% during the same period. The token recently crossed the $2,700 level, reaching its highest price since February, driven by renewed investor interest and a rotation out of Bitcoin into Ethereum and other altcoins. Institutional involvement has been pivotal, with significant inflows into Ethereum ETFs, including BlackRock’s iShares Ethereum Trust, and large purchases by firms like Abraxas Capital and DRW, highlighting growing confidence in the asset. Analysts are closely watching the critical resistance range between $2,750 and $3,000, as a sustained breakout could trigger further upside momentum, possibly reaching $3,300, especially with a $2.4 billion options expiry looming. On-chain metrics show increased wallet activity, rising gas fees, and heightened protocol engagement, signaling robust network usage. However, broader macroeconomic factors and technical resistance levels may introduce volatility, potentially causing consolidation or pullbacks if Ethereum fails to maintain momentum.