Analysts believe the surge in inflows is being fueled by a confluence of factors, including regulatory tailwinds and growing recognition of Ethereum's role in the digital economy. Nick Ruck, Director at LVRG Research, noted that investors are increasingly seeing Ethereum as both a "store of value and a foundational layer for decentralized finance and Web3 innovation." This sentiment is further supported by recent U.S. government announcements, such as the permission for digital assets in 401(k) retirement plans, which has boosted institutional confidence. The U.S. spot ETH ETFs have been the dominant force, with funds from BlackRock, Fidelity, and Grayscale leading the charge. This institutional adoption is building deeper liquidity pools and cementing Ethereum as a "cornerstone of mainstream crypto adoption."