1. Market Overview

• Market Capitalization and Sentiment Index: As of today, the total market capitalization of the global Crypto market remains around $3.4 trillion, down about 1.2% from last week. The Crypto Fear & Greed Index currently reads 62, falling within the ‘Greed’ range, indicating that market sentiment remains optimistic but there is a pullback demand.
• Capital flow: In the past 24 hours, approximately $180 million has flowed into Bitcoin ETF, indicating that institutional investors’ interest in digital assets continues; at the same time, the total value locked (TVL) in the DeFi sector has slightly adjusted, but remains above $180 billion.

2. Latest trends in Bitcoin price

Figure:https://www.gate.com/trade/BTC_USDT

• Price pullback: Bitcoin (BTC) pulled back to around $106,500 after reaching a historical high of $111,200, with a decline of about 4.4%. This area is also a previous zone of concentrated trading, providing certain support.
• Trading volume and open interest changes: The 24-hour trading volume is approximately $78 billion, and the futures open interest has slightly decreased by 3%. The leverage long positions on BitMEX and Bybit have dropped from 68% to 62%, indicating that some short-term long positions have gradually taken profits.
• Technical analysis: On the daily chart, the 50-day moving average and the 200-day moving average still show a golden cross trend. The RSI has fallen to 58, not yet reaching the oversold zone, suggesting that there is still room for a pullback.

3. Ethereum and DeFi ecosystem

• Ethereum (ETH): As of May 30, 2025, the price of ETH is approximately $2,601.08, down 4.83% from yesterday, mainly impacted by technical pressure and significant options expiration. The EIP-4844 testnet has successfully run, and the subsequent scalability improvements remain worthy of attention.

4. Dynamics of the Derivatives and Options Market

• Futures basis: BTC 3-month basis fell from 0.8% to 0.4%, and the market is more cautious about the mid-term trend.
• Options Volatility: BIT Vol 30d decreased from 55% to 48%, indicating a weakening of short-term bullish expectations. The ratio of call to put open interest is about 1.3, and investors remain cautiously optimistic about future volatility in the 10%-15% range.
• Structured Products: Platforms such as Huobi and OKX have launched two-way linked products, with annualized yields between 12% and 18%, suitable for investors seeking stable returns.

5. Newbie Investment Strategies

1. Phased allocation: It is recommended to divide the funds into 3-5 parts and build positions in phases based on key support levels (such as $105K, $100K, $95K) to reduce timing risk;
2. Take Profit and Stop Loss: For short-term trades, a take profit of 5%-8% and a stop loss of 3%-5% can be set; for medium to long-term trades, a trailing take profit strategy can be set based on personal risk preference.
3. Core and satellite assets: Allocate 60%-70% of funds to core assets such as Bitcoin and Ethereum, with the remaining 30%-40% allocated to high-quality public chains and DeFi projects;
4. Focus on on-chain data: Use tools like Glassnode and Dune Analytics to closely monitor changes in large holders’ positions, on-chain transfer volumes, miner revenues, and other data.
5. Dollar-Cost Averaging and Rebalancing: Implement a periodic fixed amount (DCA) strategy, combined with market cycles and personal asset allocation, to dynamically adjust the weighting.

6. Risk Warning and Future Outlook

• Market Volatility Risk: The Crypto market is highly volatile, and short-term pullbacks may exceed expectations. Beginners should control leverage and enhance risk awareness.
• Regulatory policy risk: There is uncertainty in regulatory policies across countries, and attention should be paid to the Federal Reserve’s decisions, the progress of the EU’s MiCA legislation, etc.;
• Technical and security risks: Security incidents such as smart contract vulnerabilities, cross-chain bridge attacks, and wallet private key management occasionally occur, so it is advisable to store assets in a diversified manner and enable multi-signature.

Outlook: In the short term, the Crypto market may fluctuate in the range of $104K–108K, waiting for further clarity from macro and on-chain data; in the medium to long term, we remain optimistic about the value re-evaluation of digital assets as an emerging asset class, with institutional entry and infrastructure upgrades continuing to drive industry development.

7. Conclusion

As Bitcoin completes a healthy pullback, the activity of Ethereum and the DeFi ecosystem continues to rise, revealing diversified investment opportunities. New readers can combine strategies such as dollar-cost averaging, core-satellite portfolios, and on-chain data analysis to capture new opportunities in the Crypto market while controlling risks.