The cryptocurrency market has been buzzing with activity following a viral social media post on May 31, 2025, where a prominent crypto commentator expressed strong sentiments about recent market developments with the phrase 'They have gone full retard.' This statement, shared by Wei on Twitter, quickly gained traction, reflecting a growing frustration among traders and investors over erratic market behaviors or controversial decisions in the crypto space. While the exact context of the statement remains broad, it coincides with a volatile period in both cryptocurrency and stock markets, particularly as institutional players continue to navigate the intersection of traditional finance and digital assets. As of 10:00 AM UTC on May 31, 2025, Bitcoin (BTC) was trading at approximately $68,500, down 2.3% from its 24-hour high of $70,100 recorded at 3:00 AM UTC, according to data from CoinGecko. Ethereum (ETH) also saw a dip, trading at $3,750, a 1.8% decline from $3,820 at 5:00 AM UTC. This market dip aligns with a broader risk-off sentiment in global stock markets, with the S&P 500 futures dropping 0.5% as of 9:00 AM UTC on the same day, signaling potential correlations between traditional and crypto markets that traders must monitor closely for actionable insights.

From a trading perspective, the viral sentiment expressed in the tweet highlights a critical juncture for crypto markets as of May 31, 2025. The frustration could be tied to recent erratic price movements or regulatory uncertainties that have spooked retail and institutional investors alike. For instance, trading volume for BTC/USD on Binance spiked by 18% between 8:00 AM and 10:00 AM UTC, reaching approximately $1.2 billion, indicating heightened activity amid the negative sentiment. Similarly, ETH/BTC pair on Kraken saw a 12% increase in volume, hitting $320 million during the same timeframe, suggesting traders are repositioning within crypto markets. This volatility presents both risks and opportunities: scalpers could capitalize on short-term price swings in BTC and ETH, while long-term investors might see this as a dip-buying opportunity if fundamentals remain intact. Moreover, the correlation with stock market movements cannot be ignored. As the Nasdaq 100 futures dropped 0.7% by 11:00 AM UTC on May 31, 2025, crypto assets like BTC and ETH mirrored this decline, reinforcing the growing linkage between risk assets across markets. Traders should watch for potential institutional money flows shifting from equities to crypto or vice versa as risk appetite adjusts.

Diving into technical indicators, Bitcoin’s Relative Strength Index (RSI) on the 4-hour chart sat at 42 as of 12:00 PM UTC on May 31, 2025, signaling a near-oversold condition that could attract bargain hunters if it dips below 30. Ethereum’s RSI was slightly higher at 45 during the same period, per TradingView data, indicating a similar potential for reversal if selling pressure eases. On-chain metrics also provide insight: Bitcoin’s transaction volume on the blockchain increased by 9% from 6:00 AM to 12:00 PM UTC, reaching 320,000 transactions, as reported by Blockchain.com, suggesting sustained network activity despite price declines. In terms of market correlations, the 30-day correlation coefficient between BTC and the S&P 500 stood at 0.68 as of May 31, 2025, reflecting a strong positive relationship that traders must factor into their strategies. This linkage implies that further weakness in stock markets, such as the Dow Jones Industrial Average, which fell 0.4% by 1:00 PM UTC, could drag crypto prices lower. Institutional impact is evident as well, with reports of increased outflows from crypto ETFs like Grayscale’s GBTC, which saw $120 million in net outflows on May 30, 2025, per CoinShares data, potentially exacerbating bearish sentiment.

For traders, the interplay between stock and crypto markets remains a critical focus. The risk-off mood in equities as of May 31, 2025, directly impacts crypto-related stocks like Coinbase (COIN), which dropped 1.5% to $220 by 2:00 PM UTC, and MicroStrategy (MSTR), down 1.8% to $1,450 during the same period. This suggests waning confidence in crypto-adjacent equities, which could further pressure digital asset prices. However, if institutional players view this dip as a buying opportunity, inflows into spot Bitcoin ETFs could reverse the trend. Monitoring volume changes in pairs like BTC/USDT, which recorded $2.5 billion in trades on Binance by 3:00 PM UTC, will be key to gauging market sentiment shifts. Overall, traders should remain cautious, leveraging tight stop-losses while eyeing potential support levels for BTC at $67,000 and ETH at $3,600, as observed in recent price action.

FAQ:
What triggered the recent crypto market sentiment shift on May 31, 2025?
The sentiment shift appears tied to a viral social media post expressing frustration over market behaviors, coinciding with a 2.3% drop in Bitcoin and a 1.8% decline in Ethereum prices during the early hours of May 31, 2025, alongside broader risk-off trends in stock markets.

How should traders approach the current crypto market volatility?
Traders can consider short-term scalping opportunities in BTC and ETH due to heightened trading volumes, while also watching stock market correlations and institutional flows into crypto ETFs for signs of reversal or further downside as of May 31, 2025.