According to The Kobeissi Letter, US homebuilder confidence fell by 6 points in May 2025, dropping to 34, which is the lowest level since November 2023 and marks the second-largest monthly decline since 2020 (source: Zerohedge, The Kobeissi Letter). All three components of the sentiment index contributed to the downturn, indicating broad weakness in the housing sector. For crypto market traders, this sharp decline in housing sentiment could signal increased economic uncertainty and potential shifts in investor capital toward digital assets as risk-off sentiment grows in traditional markets. Monitoring the correlation between falling real estate confidence and crypto inflows is recommended for active traders.