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- Ethereum bulls beware: RSI flashing!
Ethereum bulls beware: RSI flashing!
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Bitcoin bulls vs. bond yields: Why rising rates might spark the next BTC boom
Key points:
U.S. bond yields are surging due to Trump-era fiscal expansion forecasts, with analysts predicting a potential 6% 10-year yield.
Rather than a bearish signal, elevated yields may increase Bitcoin’s appeal amid sovereign debt concerns and fiscal dominance fears.
News - Historically seen as a headwind, rising U.S. Treasury yields are now being reinterpreted as bullish for Bitcoin. With April’s CPI coming in lower than expected, the 10-year yield still climbed to 4.5%, highlighting fiscal fears rather than inflation concerns. The Trump administration’s proposed $4T tax cut and $1.5T in spending reductions are being viewed as a $2.5T fiscal expansion—boosting risk assets like Bitcoin, gold, and equities, while hammering bonds.
Fiscal expansion could fuel Bitcoin demand - Analysts including Spencer Hakimian suggest that Trump’s policies will further balloon the U.S. deficit, sparking stronger demand for inflation hedges. “It’s great for Bitcoin, gold, and stocks. It’s terrible for bonds,” Hakimian noted, adding that current market behavior reflects a macro pivot toward asset classes that benefit from liquidity influx and deficit-driven monetary responses.
Sovereign risk and Fed intervention in focus - Pseudonymous analyst EndGame Macro points to a self-reinforcing loop: higher yields push up debt servicing costs, leading to more borrowing and even higher yields—raising the risk of a sovereign crisis. In response, the Fed could initiate yield curve control (YCC), capping yields by buying more bonds. This, in turn, boosts liquidity and investor appetite for BTC.
What’s next? - While some analysts warn of a 2021-style double top, others argue this cycle’s institutional involvement and macro backdrop differ. As fears of fiscal dominance and sovereign risk mount, Bitcoin may benefit from its growing narrative as both an alternative store of value and a portfolio diversifier.
Key points:
Ethereum's market dominance surged past 10%, but RSI and technical divergences suggest a short-term correction is likely.
U.S. investors appear to be cashing out, as bearish divergences and weakening demand pressure ETH’s 40% rally.
News - Ethereum has reclaimed a 10% market share for the first time since March, outpacing the broader crypto market with a 50% surge in May. However, signs of overheating are flashing across charts and investor behavior, raising caution for bulls.
ETH dominance’s daily RSI is now the most overbought since May 2021—a level historically followed by double-digit corrections. Meanwhile, Ethereum’s four-hour chart shows a clear bearish divergence, indicating weakening momentum. According to trader AlphaBTC, ETH could face a 10–15% drop, with support at $2,330 or even $2,190.
Adding to the headwinds, the Coinbase Premium Index has dipped, reflecting a pullback in demand from U.S. investors. This divergence between price and network activity suggests that Ethereum’s recent rally may not be supported by sufficient on-chain fundamentals.
Strategic reserve bull case grows - Despite short-term volatility, long-term confidence in Ethereum is growing. Analysts now expect the Strategic Ethereum Reserve (SER)—which tracks ETH holdings across institutions and protocols—to hit 10 million ETH by 2026, up from just under 800K today. While this raises some centralization concerns, it could enhance Ethereum’s narrative as a long-term store of value.
What’s next? - ETH trades near $2,600, below its $2,745 resistance. A drop toward $2,424 remains possible if U.S. selling intensifies. However, analysts like Michaël van de Poppe and Peter Brandt view any correction as a buy-the-dip moment, with targets ranging from $3,500 to $3,800 in the coming months.
Standard Chartered backs FalconX to expand institutional crypto access
Key points:
FalconX will integrate Standard Chartered’s banking and FX infrastructure to enhance cross-border settlements.
The partnership marks FalconX’s first tie-up with a global bank and signals deeper TradFi–crypto convergence.
News - Standard Chartered has entered into a strategic partnership with institutional crypto prime broker FalconX, in a move designed to enhance the bank’s presence in the digital asset ecosystem. The bank will now provide banking services and foreign exchange support to FalconX and its global institutional clients.
Initially launching in Singapore, the partnership will later expand across the U.S. and the Middle East. FalconX aims to leverage Standard Chartered’s infrastructure to streamline cross-border settlements and offer a TradFi-grade experience to its clients, which include hedge funds, asset managers, sovereign wealth funds, and token issuers.
Matt Long, FalconX’s General Manager for APAC and the Middle East, described Standard Chartered as “one of the most forward-thinking global banks in digital asset adoption.” He noted that the partnership will help FalconX offer more robust banking and FX services to its institutional base.
TradFi x Crypto momentum builds - Standard Chartered’s involvement in crypto dates back to 2016, and its recent moves signal renewed commitment. The bank owns stakes in Zodia Custody and Zodia Markets, has launched spot trading desks for BTC and ETH, and is working with OKX on tokenized collateral solutions. Executives expect a broader banking push into Bitcoin by late 2025 as regulatory clarity improves.
What’s next? - As FalconX eyes deeper global penetration and Standard Chartered continues expanding crypto services, this alliance could serve as a blueprint for institutional-grade banking integrations across the digital asset space. With over $1.5 trillion in trades already processed, FalconX may emerge as a key bridge between TradFi and crypto.
Synthetix eyes Derive in $27M token swap deal
Key points:
Synthetix has proposed a $27M acquisition of Derive via a 27:1 DRV-to-SNX token swap, pending community votes.
The deal would reunite the previously spun-off protocol with Synthetix, expanding its derivatives stack despite pushback from Derive holders.
News - Ethereum-based derivatives platform Synthetix is making a bold bid to reabsorb Derive — formerly Lyra — in a $27 million token-swap deal that would fold the options trading platform back into its parent ecosystem. If approved by both protocol communities, the merger would see DRV holders receive 27 newly minted SNX tokens per DRV, subject to a 3-month lockup and 9-month linear vesting.
The proposal, dubbed SIP-415 on Synthetix and DIP on Derive, includes minting up to 29.3 million SNX (roughly 8.6% supply inflation) to fund the acquisition. Derive’s treasury, product stack, and operations would be fully integrated into Synthetix’s infrastructure.
The move is being framed as a strategic vertical reintegration — one that consolidates Synthetix’s ambitions across perps, options, and appchains. It follows recent acquisitions of Kwenta and TLX, as Synthetix sets its sights on competing with major derivatives players like Binance, dYdX, Deribit, and Hyperliquid.
Community friction - Not everyone is on board. The Derive community has voiced strong opposition to the proposal, calling the 27:1 swap ratio undervalued and unfavorable. Some also criticized the added lock-up terms.
“It all looks great and advantageous for Synthetix,” said one commenter, while another called the valuation “a poor reflection” of Derive’s value.
At press time, DRV had dropped 20% in 24 hours, while SNX rose 7% on acquisition buzz.
What’s next? - Votes from both communities are expected next week. If greenlit, the deal could reshape the Synthetix ecosystem into a more unified, vertically integrated derivatives force. However, if Derive’s holders continue to resist, the proposal may face a rocky path ahead.
More stories from the crypto ecosystem
Did you know?
On May 12, 2025, SEC Chair Paul Atkins announced plans to create clear guidelines for crypto tokens classified as securities. This initiative aims to provide a rational framework for lawful issuance, custody, and trading of crypto assets while deterring misconduct.
A recent investigation revealed that Xinbi Guarantee, a Chinese-language platform legally registered in Colorado, enabled $8.4 billion in transactions since 2022, including crypto-related scams and money laundering. The platform operated via Telegram and was recently banned.
In February 2025, Argentine President Javier Milei promoted the $LIBRA memecoin, which subsequently crashed, leading to investor losses of approximately $250 million. The incident, dubbed "Cryptogate," resulted in over 100 criminal complaints and calls for Milei's impeachment.
Top 3 coins of the day
Raydium (RAY)
Key points:
RAY surged over 20% in the past 24 hours, trading around $3.70 amid strong bullish momentum.
The 9-day SMA and Awesome Oscillator indicated continued upward momentum, with analysts eyeing potential targets between $7 and $20.
What you should know:
Raydium experienced a significant rally, climbing over 20% in the last 24 hours to trade near $3.70. This surge marked a three-month high, driven by sustained bullish momentum since early April. The token's performance has been bolstered by its trading above key technical indicators, suggesting continued upward movement. Analysts have noted that if the bullish trend holds, RAY could potentially reach price targets between $7 and $20. The Awesome Oscillator has shown strong positive momentum, and the 9-day Simple Moving Average (SMA) has provided support for the ongoing uptrend. Additionally, Raydium's recent developments, such as the launch of its token launchpad, LaunchLab, and the introduction of perpetual futures trading, have contributed to increased investor confidence. In Q1 2025, Raydium averaged $3.6 billion in daily volume, marking its fourth consecutive quarter as the leader in Solana daily DEX volume. Traders should monitor the $3.55 level as immediate support, with potential resistance near the $4.18 mark. Given the token's recent performance and ongoing developments, market participants should stay informed on the latest news and technical indicators.
Ethena (ENA)
Key points:
ENA declined by 6.78% over the past 24 hours, trading at $0.42 after a week-long rally.
The DMI showed weakening buyer strength as the -DI line moved closer to the +DI, signaling possible consolidation.
What you should know:
Ethena pulled back by 6.78% to trade at $0.42 at press time, ending its recent upward streak. This dip followed a strong post-unlock recovery that had pushed ENA up by more than 16% earlier this week. The drop came amid cooling bullish sentiment. On the daily chart, the Directional Movement Index (DMI) reflected early signs of fading bullish momentum. The +DI line remained slightly above the -DI, but the ADX appeared to flatten, suggesting weakening trend strength. Meanwhile, the 9-day Simple Moving Average (SMA) continued to support the short-term trend near $0.37. As ENA attempts to stabilize, traders should watch for consolidation between the $0.40 and $0.45 zone. A decisive move below the 9-day SMA may invite further correction, while reclaiming the $0.47–$0.50 region could revive bullish momentum.
dogwifhat (WIF)
Key points:
WIF dropped by 6.12% in 24 hours, trading at $1.10 after failing to sustain above $1.19.
Despite the pullback, the RSI remained above 75, while the 9-day SMA continued to offer short-term support.
What you should know:
WIF witnessed a notable dip of over 6% on the day, retracing to $1.10 after briefly touching $1.19. Despite this correction, the token retained most of its weekly gains and stayed well above its 9-day Simple Moving Average (SMA), which acted as a short-term support near $0.87. The Relative Strength Index (RSI) held above 75, suggesting that WIF was still in overbought territory and that further consolidation could follow. However, the sharp volume spike seen during its rally hinted at strong trader interest. Analysts noted that WIF recently surged over 180%, crossing the $1 mark amid bullish sentiment. On-chain data revealed growing trader accumulation and momentum, while some price predictions highlighted expectations of a potential breakout beyond $1.30 in the near term. That said, traders should be cautious of heightened volatility. The $1.00 level remains a key support zone, while a push above $1.20 may reignite bullish continuation toward the $1.30–$1.35 range.
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