Data shows: The U.S. CPI in April is 2.3%, lower than the expected value of 2.40%, and lower than the previous value of 2.40%, marking a new low since February 2021. The core CPI for April recorded 2.8%, unchanged from expectations and the previous value, maintaining the lowest level since March 2021. The S&P 500 index has erased its losses for the year to date, rising 20% from the low in April, with 20% interpreted as a technical bull-bear boundary.

Returning to the topic:

Paul Atkins, head of the U.S. Securities and Exchange Commission (SEC), stated that the commission will use its existing rule-making, interpretation, and exemption powers to set appropriate standards for market participants. Custody rules may need to be updated to allow funds and advisors to participate in self-custody under specific conditions. The SEC may consider whether to provide exemptive relief for participants wishing to bring new products to market that may be incompatible with the current commission rules and regulations. New York City Mayor Eric Adams announced that the city will work with financial firms to advance cryptocurrency-related initiatives, focusing on the long-term value of these technologies rather than chasing trends. New York City welcomes companies in the cryptocurrency, blockchain, Web3, or fintech sectors to do business; a crypto summit will be held on May 20. Arizona Governor Katie Hobbs signed a regulatory bill targeting cryptocurrency ATMs, with HB 2387 establishing strict regulations for cryptocurrency ATMs, including requiring operators to display multilingual fraud warnings, setting daily transaction limits, providing 24/7 customer support, and complying with anti-money laundering protocols. The SEC is seeking comments on BlackRock's BTC ETF physical redemption and has postponed Grayscale's SOL and LTC ETF proposals. Coindesk reported that cryptocurrency and stock brokerage eToro raised approximately $310 million in its initial public offering (IPO) in the U.S., with the company valued at $4.2 billion. The IPO is led by Goldman Sachs and is expected to list on the NASDAQ.

After the successful deployment of ETH's Pectra upgrade, the next upgrade for ETH is Fusaka, which plans to introduce PeerDAS aimed at reducing L2 and validator costs, scheduled to go live by the end of 2025. Nftgators reported that global asset management firm VanEck launched a tokenized U.S. Treasury fund VBILL, with assets custodied by State Street Bank. GreeksLive analyst Adam stated that despite a significant drop in BTC and signs of dispersion, overall sentiment seems cautiously bullish, expecting prices to rise again. K33 Research indicated that BTC has regained over $100,000 with sustained strong momentum, and unlike past instances of breaking above $100,000, the current derivatives market shows no signs of a bubble, maintaining a cautious overall stance, further supporting the possibility of sustained upward momentum and reaching new historical highs. Cantor Equity Partners previously announced plans to establish Twenty One through a SPAC merger, reserving over 42,000 BTC ($3.9 billion) with support from Tether, Bitfinex, Cantor Fitzgerald, and SoftBank Group. Twenty One increased its holdings by 4,812 BTC at an average price of $95,300. BiyaPay analysts noted that based on the BTC monthly chart, it may have entered a parabolic rise phase. In the previous two cycles, the span from BTC's bottom to top was 1,064 days; this cycle will not reach 1,064 days until October 2025, suggesting that the current upward trend may still have room to rise. On a macro level, the U.S. has reached a trade agreement that could eliminate market uncertainty; if the Federal Reserve lowers interest rates, it will increase market liquidity, both of which could drive BTC prices higher.

On May 13, $91.4 million flowed out of the U.S. spot BTC ETF; $13.5 million flowed into the spot ETH ETF. BTC's market share has dropped below 63%, while other cryptocurrencies, especially ETH, have begun to perform well. Coinmarketcap data shows that the market has significantly warmed up, with the altcoin season index rising from a low of 13 to 31, gradually approaching the February average of 43 points. CB will be included in the S&P 500 index, becoming the first pure crypto company in the S&P 500, with its stock price rising 23% on Tuesday, reaching a market capitalization of $65.4 billion. Bitfinex Alpha reports that under the influence of macro tailwinds, including easing tariff tensions and a dovish shift in the Fed's tone, BTC has broken through the $100,000 mark again, consistent with the broader shift in risk appetite. As long as macro conditions remain supportive, short-term declines are likely to be quickly absorbed, reinforcing the upward trend and positioning BTC for further breakthroughs into new highs. Monday's data showed that the U.S. CPI for April is 2.3%, lower than the expected value of 2.40%, and lower than the previous value of 2.40%, marking a new low since February 2021. The core CPI for April recorded 2.8%, unchanged from expectations and the previous value, maintaining the lowest level since March 2021. The unexpected cooling of the U.S. CPI in April gives Trump more leverage to urge the Fed to cut rates. Trump stated: There is no inflation, "Mr. Too Late" Powell, why are you still hesitating? The Fed must lower rates like Europe, letting everything take its course; this would be a wonderful thing. Forexlive analysts noted that after the CPI announcement, the dollar faced moderate selling; without tariffs, the Fed would easily cut rates now. U.S. National Economic Council Director Hassett stated that there are currently about 20-25 agreements on the trade negotiation table.

Bank of America fund manager survey: 61% of fund managers believe the U.S. economy will have a soft landing (up from 37% in April), while 26% believe there will be a hard landing (down from 49% in April). Goldman Sachs strategists expect the S&P 500 index to reach 6,500 points in the next 12 months, an upward revision from the previous expectation of 6,200 points (currently at 586 points). Morgan Stanley believes: The historic sell-off triggered by Trump has ended, reiterating its forecast that the S&P 500 index will stand at 6,500 points by the end of the year. Easing tariff pressures have opened up space for the Federal Reserve to lower interest rates, which will directly benefit stocks and other risk assets. As the dollar weakens and trade negotiations progress, the risk of economic recession has significantly decreased. "The second half of the year is likely to outperform expectations, as the first half has been really bad." The U.S. CPI inflation dropped to 2.3% in April, near the Federal Reserve's target of 2%. Current market concerns revolve around the expectation that the Federal Reserve's rate cut may be delayed from June to July or even September (after the tariff increase in April, the April CPI inflation did not show an increase, but the market remains worried about tariffs leading to subsequent inflation increases). The macro narrative is shifting from trade tensions to trade optimism, with the S&P 500 index erasing its year-to-date losses, rising 20% from the low in April, heading towards a bull market (20% is considered a technical bull-bear boundary), while BTC also rebounds near historical highs, and ETH reaches $2,700. BTC's market share has dropped below 63%, while other cryptocurrencies perform excellently, and the atmosphere finally resembles that of previous bull markets. If Trump's tariffs do not bring further surprises, the U.S. economy can avoid falling into recession, and the market will also recover previous losses in the summer, while waiting for Federal Reserve rate cuts to add fuel to the fire. Wishing for a smooth summer.