According to MilkRoadDaily, the IBIT ETF has entered the top 5 for year-to-date inflows, signaling strong institutional demand for Bitcoin exposure through traditional financial products (source: MilkRoadDaily, May 23, 2025). Additionally, reports indicate that major US banks are considering a joint stablecoin initiative, which could significantly enhance crypto liquidity and bridge the gap between traditional finance and digital assets (source: MilkRoadDaily, May 23, 2025). Traders should monitor potential impacts from renewed trade war tensions, as increased volatility in global markets may drive further interest in crypto as a hedge. These developments are likely to influence both near-term trading volumes and long-term adoption trends in the cryptocurrency market.

According to The Kobeissi Letter, President Trump announced a recommended 50% tariff on the EU starting June 1st, marking the first trade escalation since the 90-day tariff pause (source: The Kobeissi Letter, May 23, 2025). This announcement caused S&P 500 futures to drop sharply to 5750. Historically, increased trade tensions and equity market volatility have driven risk-off sentiment, often leading to short-term spikes in crypto trading volumes and increased market volatility as traders seek alternative assets. Traders should monitor liquidity risks and potential capital flows into major cryptocurrencies like Bitcoin and Ethereum as traditional markets react to ongoing tariff developments.

According to The Kobeissi Letter, stock market futures fell over 1% following President Trump's announcement that 50% tariffs will be imposed on the European Union beginning June 1st (source: @KobeissiLetter, May 23, 2025). This sharp market reaction signals rising global economic uncertainty, which often drives increased volatility in the cryptocurrency market as traders seek alternative assets and hedge against traditional equity risks. Crypto investors should closely monitor macroeconomic developments and be prepared for potential liquidity inflows or outflows as traditional markets react to escalating trade tensions.