According to The Kobeissi Letter, the S&P 500 dropped by 1% as US-China trade tensions intensified on May 30, 2025 (source: The Kobeissi Letter on Twitter). This sharp decline in the equities market often triggers increased volatility in the cryptocurrency sector as investors seek alternative assets like Bitcoin and Ethereum. Crypto traders should closely monitor the ongoing trade dispute, as heightened uncertainty could lead to rapid inflows into digital assets and short-term price swings. Historical data shows that escalating geopolitical risks have previously driven up crypto trading volumes and led to price surges (source: CoinMarketCap historical data).

According to The Kobeissi Letter, Core PCE inflation rose to an annual rate of 2.8% from the initially reported 2.6% in January, with January's figure revised up to 2.7%. This increase is linked to the acceleration of the equity market's decline.