Trump and Musk Clash Over "Beautiful Big Bill" — Crypto Markets Drop | Hotcoin Research Market Insights: June 2–6, 2025
TechFlow Selected TechFlow Selected
Trump and Musk Clash Over "Beautiful Big Bill" — Crypto Markets Drop | Hotcoin Research Market Insights: June 2–6, 2025
Trump and Musk Clash Over "Beautiful America Act," Crypto Market Adjusts Amid Volatility
Navigating Web3 tides with focused insightsCryptocurrency Market Performance
The current total market capitalization of cryptocurrencies stands at $3.34 trillion, with BTC accounting for 61.55%, or $2.06 trillion. Stablecoin market cap is $249.1 billion, up 0.72% over the past seven days, with USDT representing 62.05%.
This week, BTC has been trading in a range-bound pattern, currently priced at $103,655; ETH has also shown range-bound movement, now at $2,481.
Among the top 200 projects on CoinMarketCap, a small portion rose while most declined: SKY gained 10% over 7 days, LA surged 183.83%, MASK increased by 47.53%, and ANIME rose 37.33%.
This week, U.S. spot Bitcoin ETFs saw net outflows of $130.8 million; U.S. spot Ethereum ETFs recorded net inflows of $280.8 million.
The "Fear & Greed Index" on June 6 stood at 46 (lower than last week), reflecting neutral sentiment throughout the week.
Market Outlook:
This week witnessed continued issuance of stablecoins, net outflows from U.S. spot Bitcoin ETFs continuing last week's trend, and net inflows into U.S. spot Ethereum ETFs. Both BTC and ETH remained range-bound. The RSI index was 49.59, indicating neutrality, while the Altcoin Season Index was 18. The U.S. May seasonally adjusted non-farm payroll numbers came in above expectations, whereas the "small ADP" employment figure marked the smallest increase since March 2023. The Fear & Greed Index remained neutral.
The probability of a 25-basis-point rate cut by the Fed in June is only 2.6%, with rate cuts expected to begin in Q3 of this year. The market shows two dynamics: public companies “buying BTC” versus profit-takers and spot ETFs selling. Absent major events or new liquidity injections, BTC is likely to remain range-bound around $100,000–$105,000 next week. Watch developments related to Trump and crypto.
Understanding the Present
Weekly Major Events Recap
1. On June 2, according to Cointelegraph, during the ETHGlobal Prague conference, Ethereum co-founder Vitalik Buterin stated that Ethereum will scale L1 capacity by about tenfold within a year before taking a breather ahead of the next leap forward;
2. On June 3, the U.S. Securities and Exchange Commission (SEC) opened public comments on whether to amend rules to allow WisdomTree’s Bitcoin Fund to conduct physical creation and redemption;
3. On June 3, late-night reporting by South Korea's JTBC TV indicated that Democratic Party candidate Lee Jae-myung won the presidential election. Lee previously pledged to push for approval of crypto spot ETFs and proposed launching a Korean won-backed stablecoin;
p>4. On June 4, documents showed that Trump-affiliated social platform Truth Social filed an application for a Bitcoin ETF;5. On June 4, as reported by Decrypt, Ethereum co-founder and Consensys CEO Joe Lubin said his company is negotiating with "major sovereign wealth funds and banks" from a "very powerful" nation regarding potential development based on Ethereum;
6. On June 4, Donald Trump Jr., co-founder of WLFI and eldest son of Trump, clarified via post that “The Trump Organization has no affiliation with this wallet product (developed through Magic Eden and TRUMP Meme collaboration). Eric Trump and I were unaware of it. Stay tuned — our official wallet from World Liberty Financial, which we've been actively developing, will launch soon”;
7. On June 5, according to CoinDesk, stablecoin issuer Circle completed its IPO on the New York Stock Exchange at $31 per share, exceeding the initial price range ($24–$26), raising $1.1 billion and achieving a valuation of $6.2 billion. Trading under ticker symbol “CRCL,” shares began trading Thursday. Originally planning to issue 24 million shares, strong demand led to an expansion to over 34 million shares. Circle’s USDC is the second-largest stablecoin in the U.S., and its listing coincides with U.S. lawmakers advancing stablecoin regulatory legislation;
8. On June 5, YZi Labs announced an investment in OneKey. OneKey is an open-source hardware wallet project focused on enhancing cryptocurrency security and empowering users globally to self-manage their assets;
9. On June 5, the Federal Reserve’s Beige Book reported that the U.S. economy weakened over the prior six weeks, hiring slowed, and consumers and businesses expressed concerns over tariff-driven price increases. Regarding inflation, prices rose “moderately,” but widespread expectations exist for faster future cost and price growth;
10. On June 5, according to The Wall Street Journal, after Elon Musk criticized the Republican Party’s large tax and spending bill, Trump appeared to lose patience with Musk. Meanwhile, Musk was frustrated by Trump’s decision to withdraw the nomination of a key ally to lead NASA. A senior White House official said Trump was unhappy with Musk criticizing a bill he signed, noting the president was confused by Musk intensifying criticism after four months of close cooperation. The official added that Trump’s senior advisers were caught off guard by Musk’s latest attacks.
Macroeconomic Overview
1. On June 4, U.S. May ADP employment change came in at +37,000, the weakest gain since March 2023, compared to a market expectation of +110,000;
2. On June 5, the European Central Bank lowered its deposit facility rate by 25 basis points to 2.0%, meeting market expectations and marking its seventh consecutive meeting with rate cuts. The main refinancing rate and marginal lending rate were reduced from 2.4% and 2.65% to 2.15% and 2.4%, respectively;
3. On June 6, according to CME's "FedWatch Tool": The probability of the Fed holding rates steady in June is 97.4%, while the chance of a 25-basis-point rate cut is 2.6%;
4. On June 6, U.S. May seasonally adjusted non-farm payrolls increased by 139,000, surpassing the forecast of 130,000; the previous figure was revised upward from 177,000 to 147,000;
5. On June 7, according to official data from the People’s Bank of China, China’s gold reserves stood at 738.3 million ounces (~2,296.37 tons) as of end-May, up 60,000 ounces (~1.86 tons) month-on-month, marking the seventh consecutive month of gold accumulation.
ETFs
Data indicates that between June 2 and June 6, U.S. spot Bitcoin ETFs experienced net outflows of $130.8 million. As of June 6, GBTC (Grayscale) has cumulatively outflowed $23.208 billion, currently holding $19.327 billion, while IBIT (BlackRock) holds $69.137 billion. The total market value of U.S. spot Bitcoin ETFs stands at $128.868 billion.
U.S. spot Ethereum ETFs recorded net inflows of $280.8 million.
Looking Ahead
Event Announcements
1. NFT NYC 2026 will take place in New York, USA from June 23 to 25, 2025;
2. Permissionless IV will be held in New York, USA from June 24 to 26, 2025;
3. EthCC 8 will occur in Cannes, France from June 30 to July 3, 2025;
4. IVS2025 KYOTO will be hosted in Kyoto, Japan from July 2 to 4, 2025;
5. The “OpenLedger China Tour” Hong Kong stop will be held on Friday, June 13, from 18:30 to 21:30. This series will travel to five cities: Hong Kong, Shanghai, Hangzhou, Shenzhen, and Chengdu.
Project Updates
1. Skate, a chain aiming to connect all VMs, released a date of June 9 and a promotional video on X, possibly hinting at its TGE date;
2. Upside, a social prediction market in the Base ecosystem, plans to go live on June 10.
Key Events
1. Circle froze 58 million USDT linked to the Libra scandal; Burwick Law, a crypto-focused legal firm, stated it had obtained a temporary restraining order approved by the U.S. District Court for the Southern District of New York, with a preliminary injunction hearing scheduled for June 9;
2. U.S. House Financial Services Committee Chair French Hill has set June 10 as the review date for the House cryptocurrency market structure bill.
Token Unlocks
1. GMT (GMT) will unlock 85.97 million tokens on June 9, worth approximately $4.33 million, representing 1.43% of circulating supply;
2. Vana (VANA) will unlock 14.8 million tokens on June 12, valued at ~$94.48 million, or 12.33% of circulating supply;
3. Immutable (IMX) will unlock 24.52 million tokens on June 13, worth ~$12.72 million, or 1.23% of circulating supply;
4. Starknet (STRK) will unlock 163 million tokens on June 15, worth ~$21.59 million, or 1.63% of circulating supply;
5. Sei (SEI) will unlock 224 million tokens on June 15, worth ~$42.61 million, or 2.25% of circulating supply;
6. Horizen (ZEN) will unlock 810,000 tokens on June 15, worth ~$8.28 million, or 3.89% of circulating supply.
About Us
Hotcoin Research, as the core investment research hub within the Hotcoin ecosystem, is dedicated to providing global cryptocurrency investors with professional, in-depth analysis and forward-looking insights. We have built a three-in-one service system of "trend analysis + value discovery + real-time tracking," delivering precise market interpretation and practical strategies through deep dives into industry trends, multi-dimensional evaluation of high-potential projects, and round-the-clock monitoring of market volatility. Our offerings include bi-weekly strategy livestreams “Top Token Picks” and daily news briefings “Blockchain Today.” Leveraging cutting-edge data analytics models and an extensive industry network, we empower novice investors to build cognitive frameworks and help institutional clients capture alpha, jointly seizing value-growth opportunities in the Web3 era.
Risk Disclaimer
The cryptocurrency market is highly volatile and inherently risky. We strongly recommend investors fully understand these risks and operate within a strict risk management framework to ensure capital safety.
Join TechFlow official community to stay tuned
Telegram:https://t.me/TechFlowDaily
X (Twitter):https://x.com/TechFlowPost
X (Twitter) EN:https://x.com/BlockFlow_News
@HotcoinAcademy
