ETH Plunges Below $2,000 on $402M May ETF Outflows

Ethereum has broken below the key $2,000 support level in late May 2026, trading near $1,980 after a sharp selloff triggered by $401.62M in spot ETF outflows. The drop follows a brief May rally to $2,300 fueled by whale accumulation of over 140,000 ETH and institutional staking, which failed to overcome persistent macro headwinds and renewed ETF selling. Despite the near-term weakness, analysts maintain bullish 2026 targets ranging from $3,000-$4,200 in base case to $5,000-$7,500 if the Glamsterdam upgrade succeeds, with Tom Lee reiterating long-term scenarios up to $62,500 tied to Bitcoin at $250,000 and tokenization growth.