According to Milk Road, tokens now allow everyday traders access to early-stage investments that were once exclusive to venture capital insiders. However, Milk Road warns that tokens carry risk profiles comparable to traditional VC investments, including high volatility, potential for project failure, and lack of liquidity (Source: Milk Road, May 15, 2025). The analysis highlights that many retail investors underestimate these risks, which can result in significant losses during market downturns or project setbacks. For crypto traders, understanding these risks is crucial for effective portfolio risk management and informed decision-making when participating in token launches or presales.

According to The Kobeissi Letter, the 1-month correlation between the S&P 500 ETF (SPY), the popular bond ETF (TLT), and the US Dollar Index (DXY) has surged to 0.2 points, reaching the highest level in at least six years (source: The Kobeissi Letter, April 28, 2025). This marks a significant reversal from a previous negative correlation of -0.3, signaling a potential shift in market behavior. Traders should note that higher correlations across equities, bonds, and the dollar may reduce diversification benefits and could indicate increased risk-on or risk-off moves impacting all major asset classes simultaneously. This development warrants close monitoring for portfolio hedging and risk management strategies.