1/ Following our April viewpoint, the prices of Bitcoin and global risk assets have clearly established a bottom this month as expected. For the first time in years, Bitcoin has become the best-performing dollar asset after the recovery from the liquidity crisis. As of the date of this report, the actual operating price center of Bitcoin has already surpassed the consolidation range of March.

2/ Throughout the month, after an unprecedented volume of trading over the past three months, Bitcoin has actually entered a state of supply exhaustion, with the trading volume intertwined between bulls and bears remaining moderate. From the sentiment in the market, a large number of traders are shorting the market and altcoins, which aligns with the peak judgment made by many veteran cryptocurrency participants based on fundamental chip theory and trading habits related to sentiment.

3/ There is little to say about altcoins. Although some newly listed tokens and the old strong control altcoin represented by SUI have made price attempts, the overall performance remains unsatisfactory. It is difficult to say that the profit effect will return before the arrival of new liquidity and the peak of sentiment. We are also seeing more and more crypto-related assets choose to embrace SPACs, listings, and various liquidity acquisition channels in trading venues like NASDAQ. It can be anticipated that the funding flow path of the next liquidity cycle is already undergoing subtle changes, posing greater challenges to the existing old altcoins.