- Vitalik Buterin projected a 10x Ethereum L1 scaling, aligning with record ETF inflows and rising interest.
- Despite bullish fundamentals, the short-term ETH price shows weakness, with bearish MACD and key resistance at $2,700.
Is Ethereum [ETH] on the verge of something big?
Vitalik Buterin has projected a 10x Layer 1 scaling breakthrough within the next year, teasing major technical progress on the horizon.
At the same time, ETH ETFs have recorded their highest inflows of 2025, showing a surge in institutional confidence. As infrastructure and interest align, Ethereum may be entering its most pivotal chapter yet.
Buterin charts a cautious path
At ETHGlobal Prague, Ethereum co-founder Vitalik Buterin revealed plans to scale Ethereum’s Layer 1 (L1) by 10 times over the next year, emphasizing a deliberate and security-focused approach.
Noting that it would take around 18 months to implement the upgrades fully, Buterin said,
“We want to increase capacity while maintaining decentralization…”
Buterin cautioned against rushing changes that might compromise ETH’s censorship resistance or user privacy.
The roadmap includes enhancements to stateless nodes and critical updates to the Ethereum Virtual Machine (EVM).
Source: X
This measured plan contrasts with Ethereum researcher Dankrad Feist’s proposal to scale L1 by 100x over five years. Despite Q1 2025’s sluggish on-chain activity, interest in Ethereum scaling continues to intensify.
ETH ETF inflows hit YTD high
According to the latest data, Ethereum ETFs recorded their highest net inflows of 2025 in May, reaching $564.18 million.
This marks a sharp turnaround from the steep outflows in March, indicating renewed institutional confidence. Total net assets had also surged to $9.45 billion.
Source: SoSoValue
The rebound comes after months of stagnation and falling prices, as seen in the chart. Since April, both asset levels and price trajectory have steadily risen.
This aligns with growing interest in Ethereum’s upcoming L1 scaling roadmap.
As investor sentiment improves, the inflow may signal increasing confidence in ETH’s long-term scalability and value.
ETH price outlook
Despite May’s strong ETF inflows, Ethereum’s short-term technicals signal caution. The RSI was at 53.77 at press time, showing neutral momentum with no strong overbought or oversold signals.
The MACD showed a bearish crossover, with the signal line above the MACD line and red bars increasing, suggesting weakening bullish strength.
Source: TradingView
Price rejection near the $2,700 mark and a dip to $2,491.88 point to short-term selling pressure.
Unless ETH reclaims support above $2,550 with rising volume, the asset may consolidate or trend lower.
