Bitcoin is showing stability near $109,000. Ethereum is rising by 3%, demonstrating a recovery of confidence in long-term strategy and expanding institutional investment activity.
After the Memorial Day holiday, the US stock market led by a 2% Nasdaq rise, with easing trade tensions between China and the US and stabilizing bond yields reviving investment sentiment towards risky assets. Kay Lu, CEO of HashKey Eco Labs, analyzed that "as volatility increases in traditional safe-haven assets, institutional investors are reallocating their assets to cryptocurrencies".
Ethereum co-founder Joseph Lubin and Consensys revealed a $425 million ETH-based treasury holding plan. Regarding this strategy pursued through the listed company Sharpling, CEO Kay Lu evaluated that "the new Ethereum treasury initiative mimics MicroStrategy's BTC approach, showing that cryptocurrencies are becoming long-term reserve assets for the Web3 ecosystem".
Institutional demand continues with over $385 million in new funds flowing into Bitcoin ETFs. However, investors are maintaining a cautious stance ahead of the 2025 Bitcoin Conference in Las Vegas next week.
Hosted by BTC Media, this event will be held from the 27th to 29th at the Venetian Conference Center in Las Vegas. Called the Davos Forum of the digital asset industry, J.D. Vance will deliver the keynote speech, and key figures from the Trump administration, including David Sachs, AI and cryptocurrency lead, are expected to attend.
Regarding the past impact of political events on the market, Singapore's QCP Capital analyzed through a market broadcast that "last year's Nashville Trump keynote speech caused a 90% spike in one-day implied volatility, leading to a 30% BTC drop. That memory is still influencing positioning." QCP added that "BTC is trading in a narrow range of $107,000-$110,000, maintaining high overall volatility".
On-chain analytics firm Glassnode revealed on X that "as of May 26, groups holding over 10,000 BTC are transitioning to net distribution (about 0.3), signaling a notable change in positioning among major holders." However, they added that "the market is still in accumulation mode overall".
The Federal Reserve's May meeting minutes to be released this week and Nvidia's earnings report are identified as key variables that will determine market direction. With Fed Chair Jerome Powell having previously cited Donald Trump's tariff war as a source of inflation and uncertainty, the meeting minutes are likely to reveal specific concerns.
In the Korean market, a 1.11% kimchi premium is currently forming. Augustine Pan, Insight Head at Signal Plus, shared on CoinDesk's Telegram message that "the underlying structure remains robust" and "positive macro tailwinds and a better base structure paint an optimistic outlook for traders expecting prices to reach new highs by summer".
QCP Capital analyzed that "perpetual futures open interest has eased, funding rates have normalized, and some notable individual traders including James Win appear to be reducing exposure" and that "while new highs are expected this summer, traders are preparing for short-term volatility around political and macroeconomic headlines".
