The surge in Ethereum prices in May reignited investor interest in ETH ETFs. In 31 days, the inflow of these investment products exceeded $550 million, setting a record for the highest single-month net inflow this year.

Although the ETH price has seen a pullback over the past week, technical indicators suggest a recovery in the short term.

The monthly inflow of ETH ETFs is expected to peak in 2025.

According to SosoValue data, the total inflow of Ethereum spot ETFs in May reached $564.18 million, the highest level this year.

The inflow of funds is primarily driven by ETH's strong performance, with top altcoins breaking through the critical $2,000 level and successfully stabilizing above $2,500 for the month.

Bullish sentiment encourages institutional investors to increase investments through spot ETFs, preparing for the continued rise of altcoins.

Ethereum is preparing for the next bull market.

Daily chart indicators show that ETH rose 49% from May 8 to May 13, then entered a consolidation phase and stabilized, forming a bullish flag pattern.

A bullish flag pattern forms when the price sharply rises (flagpole) and then enters a consolidation phase resembling a small symmetrical triangle (triangle flag). This pattern indicates that buyers are pausing before continuing the upward trend.

If ETH breaks the upward trend, it could trigger a new round of rebounds, with an initial increase of up to 49%. A breakout would confirm the ongoing bullish momentum and attract more capital inflow.

Furthermore, according to Coinglass data, ETH's funding rate remains above zero, indicating that even during a prolonged consolidation phase, there is a tendency for bullish positions. As of now, the ETH funding rate is 0.0046%.

The positive funding rate indicates that long holders are paying short holders, suggesting bullish sentiment and more traders betting on growth.

Can the bulls trigger a 49% rebound?

ETH is currently trading at around $2,529, above the lower line of the triangle flag, with support at $2,479. If a bullish breakout occurs, ETH could rise another 49%, trading at around $3,907.

However, if the sell-off continues, the price may fall below the triangle flag and return to $2,419.