The cryptocurrency market experienced significant volatility on May 30, the final day of Bitcoin 2025 Conference, with Bitcoin briefly falling below $105,000 to touch $104,600. Ethereum followed suit, dropping from $2,788 to $2,557, while altcoins generally retreated—some like BERA hitting record lows.
Market Reaction and Liquidations
👉 Real-time market data shows $330M in network-wide liquidations occurred within one hour:
- Long positions: $321M
- Short positions: $7.89M
Macroeconomic factors contributed to the downturn:
- U.S. crypto stocks COIN and MSTR declined post-market
- Fed rate cut expectations remain uncertain, with President Daly emphasizing the need for stable rates until inflation reaches 2%
- Trade policy uncertainty resurfaced after appellate courts reversed a ruling on Trump-era tariffs
Analyst Perspectives
Placeholder Partners: Correction ≠ Bear Market
Partner Chris Burniske noted: "Market structure remains favorable despite short-term corrections. The risk-reward ratio stays compelling."
Matrixport: Shifting Risk Appetite
Markus Thielen's report highlights:
- Bitcoin futures open interest surged since April lows
- BTC increasingly functions as "digital gold"—both risk-on and safe-haven asset
- Stabilizing OI suggests traders are taking profits before re-entering at lower levels
Bitfinex Alpha: Structural Demand Intact
Key observations:
- BTC consolidated healthily after 50% rebound to $111,880
- Strong ETF inflows and spot market participation drove organic buying
- Japanese firm Metaplanet added $104M in BTC holdings
- Short-term holders realized $11.4B profits, creating potential sell pressure
Critical level to watch: $95K (short-term holder cost basis)
Ethereum Outlook
Arthur Hayes predicts ETH could reach $4K-$5K in 2024, calling it the "most unloved L1" with high upside potential during market cycles.
FAQs
Q: Is this a normal market correction?
A: Analysts view this as healthy consolidation after rapid gains, with strong fundamentals remaining.
Q: What's driving Bitcoin's resilience?
A: Institutional adoption (ETFs, corporate holdings) and its dual narrative as digital gold/risk asset.
Q: When might the Fed rate cuts impact crypto?
A: Likely in Q3/Q4 2024 if inflation stabilizes, potentially boosting all risk assets.
👉 For live updates on market trends, follow our real-time analysis. The coming weeks will determine whether Bitcoin's breakout leads to stronger Q3 momentum or extended consolidation.