Last updated on May 28th, 2026 at 05:20 am
Ethereum’s price over the past year shows a shift many in crypto don’t want to accept. ETH is no longer driven mainly by basics like network usage or activity on the chain. Instead, it now mostly follows institutional money flows. With ETF outflows returning in May 2026, the short-term outlook looks weaker.
📊Today’s #BIT Daily Chart – May 18, 2026 ⬇️
Ethereum’s ETF Dependence Is Becoming Hard to Ignore#BIT #Ethereum #ETH #EthereumETF #ETFFlows pic.twitter.com/9NzLp6YwUy
— BIT Official (@BITofficial_EN) May 18, 2026
Ethereum’s price is now tied more to big investors than crypto activity
The chart shared by independent analyst Markus Thielen on May 18 2026, shows this clearly. The 30-day average of daily ETH ETF inflows has closely followed the Ethereum price over the past year.
Both have moved almost together from the lows in early 2025 to the peak above 4700 dollars around September 2025 and then back into a period of sideways movement.
This suggests that the Ethereum price is now largely driven by Wall Street demand. When institutions buy, ETH goes up. When they slow down or sell, the price falls or moves sideways. In other words a decentralized asset is now strongly influenced by centralized money flows.
Ethereum rewards no longer stand out to investors
One of the main bullish arguments for Ethereum has been staking rewards, currently around 2.5 per cent after fees.
This made sense when interest rates were low and safe investments earned very little.
That is no longer the case. U.S. 10-year Treasury yields are now above 4.6 per cent as inflation picks up again. Government bonds now offer higher returns than ETH staking, with much lower risk. For large investors who used yield as a reason to hold ETH, the numbers have now changed against Ethereum.
May outflows could mean a longer consolidation ahead
The return of ETF outflows in May 2026 is not surprising may be a warning sign. If institutional demand keeps falling while market conditions stay weak, Ethereum has limited internal support to rely on.
Unless a major trigger appears, such as a big protocol upgrade, stronger DeFi activity, or lower interest rates, ETH is likely to stay stuck in a trading range for now. The bigger question is whether Ethereum can regain strength without depending on what large investors do next.
Ethereum has been struggling to build momentum after its recent decline, while BNB has recovered more steadily and is holding its gains better. This suggests investors may currently view BNB as the more stable of the two.
Enjoyed this? Bookmark DeFi Planet, explore related topics, and follow us on Twitter, LinkedIn, Facebook, Instagram, Threads and CoinMarketCap Community for seamless access to high-quality industry insights.
“Take control of your crypto portfolio with MARKETS PRO, DeFi Planet’s suite of analytics tools.”
