The first line | Encryption market generally pulls back; "Artificial Intelligence Super Alliance" determines the ASI token merger date; LayerZero confirms connection to the Solana blockchain; BlackRock submits revised S-1 registration statement for Ethereum ETF; Wall Street closes lower; Asian stock and bond markets decline.

Daily Digest of the Crypto World: “Artificial Intelligence Super Alliance” confirms the merger date of ASI Token; LayerZero confirms connection to Solana blockchain; BlackRock submits revised S-1 registration statement for Ethereum ETF

Let’s take a look at the trading activities of Bitcoin ETF. According to Farside Investor data, on May 29th, Grayscale Bitcoin Spot ETF (GBTC) saw a continuous outflow of $31.1 million. At the same time, Fidelity Bitcoin Spot ETF (FBTC) saw an inflow of $17.7 million, Bitwise Bitcoin Spot ETF (BITB) saw an inflow of $11 million, ARK 21Shares Bitcoin Spot ETF (ARKB) saw an inflow of $4 million, and WisdomTree Bitcoin Spot ETF (BTCW) saw a net inflow of $1.1 million.

Fetch.ai, SingularityNET and Ocean Protocol Confirm the Token Merger Date of the Artificial Intelligence Super Alliance

Three artificial intelligence platforms - Fetch.ai, SingularityNET, and Ocean Protocol - will complete token merger on June 13, and FET will be renamed as ASI two days prior.

These protocols dedicated to artificial intelligence will complete the encryption token merger on June 13th, led by Fetch.ai (FET). After the merger, Fetch.ai will be renamed ASI, representing the Artificial Superintelligence Alliance. The two companies announced on Wednesday that starting from June 11th, users can convert FET to ASI, while the native tokens of SingularityNET (AGIX) and Ocean Protocol (OCEAN) will be converted after the merger, which will take place two days later.

In the past year and a half, artificial intelligence has been the focus of the tech industry. People are concerned that tech giants like Microsoft (MSFT), Alphabet (GOOG), and Meta (META) will establish dominant positions in this field. This concern has prompted Web3 companies to try to build a decentralized infrastructure for artificial intelligence, making data transparent and openly shared among contributors.

LayerZero connects to the Solana blockchain

LayerZero, an encryption bridge protocol, will be extended to the Solana blockchain, allowing Solana holders to transfer assets between 70 chains such as Arbitrum, Ethereum, Polygon, and more.

LayerZero will expand to the Solana blockchain on Wednesday, providing a new way for the transfer of crypto assets between Ethereum and its biggest single competitor. Layer Zero Labs, which developed the bridge protocol, said that cryptocurrency holders on Solana will be able to transfer their assets to Arbitrum, Ethereum, Polygon, and 70 other chains, and vice versa.

LayerZero is a bridge platform that can transfer information between disconnected blockchains. According to research firm Messari, its users transferred $6.7 billion worth of cryptocurrency in the first quarter of 2024, generating $11.5 million in revenue.

In a round of funding announced in April, private venture capitalists valued LayerZero Labs at $3 billion. The protocol is expected to soon issue its own token. Solana’s native token $SOL is the fifth largest cryptocurrency by market capitalization on CoinGecko. It also has three other major bridging protocols connecting to the Ethereum ecosystem, with the most famous one being Wormhole.

BlackRock submits revised S-1 registration statement for upcoming Ethereum ETF.

BlackRock has submitted a revised registration statement with additional disclosures for its proposed Ethereum fund, the latest move in the company’s efforts to list and trade its products.

In the week following the approval of eight Ethereum ETFs (including BlackRock’s proposed iShares Ethereum Trust) by the SEC, BlackRock submitted a revised S-1 registration statement. The issuer must wait for the S-1 statement to become effective before trading can commence.

In the modified document, BlackRock disclosed information about its seed capital investors. BlackRock stated, “On May 21, 2024, the seed capital investors (affiliated companies of the sponsors) conditionally purchased the seed creation basket, including 400,000 shares at a price of $25.00 per share.” The company also stated that these shares will be traded on the stock exchange under the ticker symbol “ETHA”.

SEC recently started discussing S-1 form matters with issuers. It is currently unclear how long this process will take, with some analysts speculating it could take several weeks.

Market Analysis: Market Pullback, Excellent Performance of Circulating Meme Coins

Market Trend

1. BTC：Bitcoin is currently in a state of oscillating decline, which may be due to unstable market sentiment or macroeconomic factors.
2. ETH：Ethereum is consolidating below $3,800, indicating a lack of clear direction in the market for the time being.
3. AltCoin: Most altcoins have experienced a decline, which may be a sign of rising market risk aversion.
4. Meme Concept Token: Despite the overall market downturn, the overall performance of circulating Meme concept tokens is relatively good.

Macroeconomics

1. US Stocks Consolidating Near Historical Highs : The US stock market is consolidating near historical highs and may face pullback risk in the short term.
2. Increase in U.S. Treasury Yields: The increase in U.S. Treasury yields may exert pressure on risk assets, including the cryptocurrency market.

Market Hotspots

1. AUCTION, CTK and other tokens with intraday fluctuations exceeding 100%: These relatively small market cap tokens have experienced significant fluctuations due to their good chip structure, coupled with the news of being listed on Korean exchanges.
2. AI concept tokens big pump (ARKM, WLD, PHB): Influenced by the continuous historical highs set by the leading technology stock NVIDIA in the US stock market, AI concept tokens also experienced a big pump.
3. Ton Ecological Meme Token NOT big pump: It broke through 0.01 US dollars in the morning and rose by more than 100% during the week, with DWF labs playing an important role as a market maker.
4. Ether-based Meme coins PEPE, TURBO, etc. pullback: These popular Meme tokens, which previously set new highs consecutively, are currently experiencing a certain pullback.
5. BTC Ecosystem Inscription and Rune Concept Tokens Surge: Tokens such as DOG, RUNCOIN, PUPS, WZRD, etc. have experienced a significant surge, especially DOG, whose market cap is about to surpass the leading inscription ORDI.

The current market presents a rather complex situation, with mainstream tokens such as BTC and ETH in a state of oscillation or consolidation, while some small market cap tokens and specific concept tokens (such as Meme and AI concepts) have performed more prominently. Investors need to pay attention to risk management in the current environment, especially in the case of significant market fluctuations. Of particular note are the opportunities presented by fully circulating Meme concept tokens and AI concept tokens, while also keeping an eye on the potential impact of macroeconomic factors on the market.

Macro: Interest rate concerns and rising bond yields weigh on Wall Street; Asian stock and bond markets fall

On Wednesday, May 29th, the US stock market closed lower due to the continuous rise in US Treasury yields and increasing concerns about the timing and scale of the Federal Reserve’s interest rate cuts. The Dow Jones Index fell more than 1%, reaching its lowest level in nearly a month, and all sectors of the S&P 500 Index fell, with utility stocks, which are sensitive to interest rates, experiencing the largest decline.

The specific three major indexes: Dow Jones Industrial Average fell 1.06%, S&P 500 fell 0.74%, and Nasdaq Composite fell 0.58%.

The main focus of the market is on the upcoming release of the US Core Personal Consumption Expenditures (PCE) Price Index report on Friday, which is the Fed’s preferred inflation gauge. The market expects the monthly data for this index to remain stable.

Meanwhile, due to the poor performance of bond auctions the previous day, US Treasury yields remained high on Thursday. The benchmark 10-year Treasury yield was last reported at 4.6197%, while the 2-year Treasury yield remained steady at 4.9830%.

On May 30, Asian stocks fell across the board on Thursday as bets that global interest rates will remain high for an extended period weighed, with bond markets also seeing declines. Investors will follow key inflation data this weekend for further clues on future monetary policy.

The dollar rose as U.S. Treasury yields rose, and gold faced pressure as the market expected the Fed to be unlikely to cut interest rates in the short term.

Data shows that inflationary pressures continue to exist in major economies, with global risk investment rebounding once again stalled. The MSCI Asia-Pacific stock index continued the previous day’s 1.6% decline, following the downward trend on Wall Street. The Nikkei index fell by 1.5%, and US and European futures also declined.

In other regions of Asia, despite the International Monetary Fund raising its GDP growth forecast for China in 2024 and 2025, mainland China’s blue-chip stocks fell by 0.25%; the Hang Seng Index in Hong Kong, on the other hand, rose by 0.17%.

In the currency market, the US dollar has the upper hand, and the euro has been suppressed to its lowest level in over two weeks at 1.07955 dollars. The latest exchange rate for the Japanese yen against the US dollar is 157.43, which fell to a four-week low of 157.715 in the previous trading day.

Due to supply concerns, the yield on US Treasury bonds has risen further, causing the Indian rupee to potentially decline on Thursday, and the US dollar index has reached its highest level in two weeks as a result. The rupee has fallen for three consecutive days after touching a high of 83.0250 on Friday, and recorded its largest single-day decline in seven weeks on Wednesday.

In the commodity market, due to concerns about weak US gasoline demand and the long-term maintenance of high interest rates, oil prices have slightly pumped, recovering some of Wednesday’s losses. Brent crude oil prices stabilized at $83.60 per barrel, while US crude oil prices rose 0.03% to $79.25 per barrel.

Spot gold fell 0.2% to $2,334.15 per ounce.

“Author: Sherry S. & Icing.” This article represents the author’s opinion and does not constitute any trading advice. This article is original content and the copyright belongs to Gate.io. Please indicate the author and source if you need to reprint, otherwise legal responsibility will be pursued.