On May 11, the crypto market continued to weaken due to the release of US inflation data the day before and the reappearance of "hawkish remarks" by the Fed spokesperson. As of press time, BTC basically maintained yesterday's closing price, while ETH and SOL both fell slightly to varying degrees.

According to data released by the University of Michigan on Friday, May 10, local time, Americans' inflation expectations for the next year rose from 3.2% in April to 3.5% this month, still higher than the range of 2.3%-3% in the two years before the epidemic.

"By this means" Fed Logan issued the strongest "hawkish remarks" this year, saying that there are important upside risks to inflation. It is too early to consider rate cuts now. We need to be flexible in policy. There is still good reason to believe that inflation will reach 2%.

This has led to a continued decline in market investment sentiment, and the number of active addresses in the market has dropped to a new low in months. In addition, the current crypto market fear and greed index has dropped to 53.

According to Coinglass data, the BTC wallet balance of the exchange increased by 3190.95 in the past 24 hours, and 2252.76 BTC flowed in in the past 7 days, and the balance of the exchange wallet was 1749641.51 BTC.

A similar situation also occurred in the ETF market. According to relevant data, on May 10, the US BTC spot ETFs had a net outflow of 84.7 million US dollars, and a net outflow of 96 million US dollars for two consecutive days. In addition, the Hong Kong spot ETF had a net outflow of 6.2344 million US dollars on the same day.

It is worth noting that although the current market weakness has further intensified, major crypto analysis agencies generally believe that there is limited room for the market to fall. It is believed that the downward pressure on cryptocurrency prices will be alleviated in June.

Because the Federal Reserve previously announced that it would reduce the rate of reduction of US debt holdings from 60 billion US dollars per month to 25 billion US dollars from June 1.

This means that the US economy may not be as "strong" as the economic data released before April. On the premise of maintaining a high interest rate policy, it has begun to seek more "water release" to increase financial market liquidity. This will undoubtedly stimulate the rise in the prices of many assets, including cryptocurrencies.

Coincidentally, according to Deribit options data, long option traders generally expect BTC prices to exceed their all-time highs by the end of June, with call options expiring at the end of June concentrated above the $75,000 strike price.

Finally, the AI ​​artificial intelligence track token (WLD), which has attracted much attention in the market, is expected to achieve a "counter-trend rise" under the OpenAI product upgrade and cooperation with Apple.

According to market news today, OpenAI said it will announce product updates live on Monday next week. In addition, another big news shows that Apple is close to reaching an agreement with OpenAI to apply ChatGPT to the iPhone.