TL;DR
Stronger-than-expected economic data triggered a sharp valuation reset, dragging the Nasdaq down 4.61% and the S&P 500 down 2.62%, as the 10-year Treasury yield rose to 4.536% and the dollar index broke above 100.07.
Nonfarm payrolls increased by a solid 172,000, while the ISM Manufacturing and Services price indexes surged to 82.1 and 71.3, respectively, signaling persistent cost-push inflation pressures.
Crude oil advanced, with WTI reaching $90.54 amid Middle East tensions and depleted inventories, further complicating global monetary policy and increasing the risk of higher headline consumer inflation.
Spot BTC ETFs recorded a record US$1.72B in weekly net outflows, while spot ETH ETFs saw US$168.2M in net outflows.
STRC remained under pressure, closing at US$93 and trading below par for a third consecutive week despite US$2B in trading volume.
ZEC declined 25.7% following the disclosure of a critical Orchard vulnerability.
Arthur Hayes fully exited his HYPE and NEAR positions, citing a more cautious macro outlook, rising energy prices, upcoming AI IPOs, and expectations that risk assets may be nearing a cyclical top later this year.
Mastercard expanded stablecoin settlement across its global payments network.MoneyGram launched the MGUSD stablecoin and moved remittance infrastructure onchain.
The U.S. Treasury signaled progress on a Strategic Bitcoin Reserve framework and the CLARITY Act.
Macro Overview
Surging ISM Prices and Firm Labor Data Elevate Yields and Batter Growth Equities
U.S. equities faced substantial downward pressure across the reporting week as persistent economic data forced a steep valuation adjustment. The Nasdaq Composite bore the brunt of the selloff by tumbling 4.61% to close at 25709.43 points, while the broader S&P 500 index declined 2.62% to finish at 7383.74 points. In contrast, the blue-chip Dow Jones Industrial Average demonstrated relative resilience with a minor loss of only 0.58%. This clear divergence highlights how longer-duration growth assets are highly vulnerable to rising discount rates. With the 10-year Treasury yield climbing 7.9 basis points to 4.536% and the U.S. Dollar Index strengthening 1.12% to 100.07, investors quickly realized that a strong economy will prevent the Federal Reserve from adopting a dovish policy stance anytime soon.
The May Employment Situation report from the Bureau of Labor Statistics revealed that nonfarm payrolls increased by a solid 172000 while the unemployment rate held completely steady at 4.3%. Average hourly earnings ticked up 0.3% month over month to $ 37.53, representing a 3.4% year-over-year expansion. Furthermore, upward revisions to March and April payrolls added a combined 93000 jobs to the historical trend. From a macroeconomic perspective, these figures indicate that the labor market is robust but not dangerously overheating. However, this persistent employment growth presents a major hurdle for near-term monetary easing. Because wage growth remains above a pace fully consistent with the inflation target and massive layoffs are absent, the central bank has little incentive to lower borrowing costs.
Economic activity accelerated as the May ISM Manufacturing PMI jumped to 54.0, marking its strongest reading since mid 2022. This expansion was mirrored in the service sector, where the ISM Services PMI rose significantly to 54.5. Despite these robust output signals the subindexes revealed a complicated macroeconomic picture because employment components remained in contraction while input prices exploded upward. The Manufacturing Prices Index skyrocketed to 82.1 points, and the Services Prices Index climbed to 71.3 points, reflecting severe cost-push pressures from tariffs and supply chain constraints. This combination of strong demand and accelerating input costs directly threatens corporate profit margins and validates why equity markets struggled despite otherwise positive growth indicators.
Geopolitical risks remained concentrated in the global energy channel as supply concerns pushed crude benchmarks higher. WTI crude gained 2.31% to settle at 90.54 dollars per barrel, and Brent crude edged up 0.74% to reach 93.09 dollars per barrel following warnings of depleted global oil inventories. Ongoing Middle East instability and shipping friction continue to introduce a critical cost-push risk premium that threatens global central bank normalization plans. An extended energy shock could quickly transition into broader consumer inflation through higher freight and transportation surcharges.
Looking ahead to next week, the market will focus on the upcoming Consumer Price Index and Producer Price Index reports to gauge the persistence of underlying inflation following recent hot ISM price metrics. Additionally, the weekly jobless claims and University of Michigan consumer sentiment survey will provide vital context regarding domestic labor market dynamics and household confidence under high borrowing costs. Globally, the upcoming European Central Bank policy decision will serve as a critical focal point for fixed income and currency markets as investors evaluate cross-border policy divergence. (1)
DXY
The U.S. Dollar Index strengthened significantly last week, climbing from 98.96 to 100.07, a 1.12% gain. This aggressive greenback rally was fueled by firm domestic labor data and surging Treasury yields, which forced investors to reprice the Federal Reserve policy path. Additionally, persistent oil market risks and broader geopolitical friction drove robust defensive demand for safe-haven dollar liquidity. (2)
US 10-Year and 30-Year Bond Yields
U.S. Treasury yields pushed higher last week with the 10-year yield rising 7.9 basis points to 4.532% while the 30-year yield edged up slightly to 4.999%. This pronounced curve movement indicates that intermediate-duration bonds are highly sensitive to shifting monetary policy expectations. Strong nonfarm payrolls and hot ISM price metrics combined to challenge the near-term rate-cut narrative and to keep upward pressure on borrowing costs. (3)
Gold
Gold prices saw a sharp liquidation last week as futures plunged from $4523.50 to $4337.10 for a significant 4.12% drop. Although ongoing tensions in the Middle East typically boost safe-haven assets, the precious metal succumbed to intense macroeconomic headwinds. The toxic combination of a stronger dollar and rising real yields increased the opportunity cost of holding non-yielding bullion, completely overshadowing tactical geopolitical hedging. (4)
Crypto Markets Overview
Main Assets
ETH/BTC Ratio
BTC fell 14.4% last week, while ETH declined 15.7%. The ETH/BTC ratio slipped 2% to 0.026. (5)
Spot BTC ETFs recorded US$1.72B in net outflows, marking the largest weekly outflow in BTC ETF history. Spot ETH ETFs also saw US$168.2M in net outflows.
Market sentiment deteriorated further into "Extreme Fear," with the Fear & Greed Index dropping to 8 from 29 the previous week. (6)
Total Market Cap
Crypto Total Marketcap
Crypto Total Marketcap Excluding BTC and ETH
Crypto Total Marketcap Excluding Top 10 Dominance
Total crypto market cap fell 12.5% last week. Market cap excluding BTC and ETH declined 8.6%, while market cap excluding the top 10 cryptocurrencies dropped 10.8%, reflecting broad-based weakness across altcoins.
STRC Performance
STRC trading volume surged to US$2B, despite the preferred shares trading below par for the third consecutive week.
The STRC mechanism is now being stress-tested. STRC fell more than 2% to close at US$93, breaking below a key psychological level after several months of relative stability. (7）
A >5% discount to par suggests investors are demanding a higher yield, pricing in greater risk, or reacting to broader market weakness. Sentiment was further pressured by MicroStrategy’s earlier sale of 32 BTC, which is its first Bitcoin sale in years, that weakened confidence in the company’s "never sell BTC" narrative.
Among Bitcoin treasury preferred securities, STRC accounted for 78.2% of total trading volume last week, up from 65.4% in the previous week. The second largest was Strive’s SATA, which accounts for 13.8%.
A rising concern is that competing products such as SATA are starting to absorb some investor demand.
Strive’s SATA continues to trade close to its US$100 par value, offers around a 13% yield, and markets itself with daily distributions and a cleaner balance sheet, making it increasingly attractive to income-focused investors.
Top 30 Crypto Assets Performance
Source: Coinmarketcap and Gate Ventures, as of 8th June 2026
Among the top 30 cryptocurrencies, prices declined by 12% on average, with ADA and AVAX among the weakest performers, posting particularly sharp losses.
ZEC plunged 25.7% after Shielded Labs disclosed a four-year-old Orchard vulnerability discovered by an AI-assisted audit, which could have enabled undetectable counterfeiting of unlimited ZEC. Although the flaw was patched before public disclosure, the inability to prove whether it had been exploited triggered a sharp selloff and prompted investors like Arthur Hayes to exit his entire ZEC position. (8)
Separately, Arthur Hayes fully exited his HYPE and NEAR positions, selling approximately 247,000 HYPE (US$18M) and 1.63M NEAR (US$5M). He cited a more cautious macro outlook, including rising energy prices, a wave of upcoming AI IPOs, and expectations that risk assets could approach a cyclical top later this year, adding further selling pressure to both tokens. (9)
The Key Crypto Highlights
Mastercard expands stablecoin settlement across global payments network
Mastercard announced that issuers and acquirers can settle card transactions using regulated stablecoins, including USDC, PYUSD, RLUSD, USDG, USDP and SoFiUSD, alongside fiat settlement. The rollout enables intraday, weekend and holiday settlement across networks such as Ethereum, Solana, Base, Arbitrum and XRPL, improving liquidity flexibility for banks, fintechs and payment providers operating in 24/7 digital markets. Early participants include ARQ, Cross River, Lead Bank, CBW Bank and Nuvei, with initial deployment focused on the U.S. and Latin America before broader global expansion through 2026. (10)
MoneyGram launches MGUSD stablecoin and moves remittance infrastructure onchain
MoneyGram announced the launch of its dollar-pegged stablecoin MGUSD and plans to migrate its global remittance infrastructure onto onchain payment rails. Initially used for treasury management, settlement and FX operations, MGUSD will eventually enable MoneyGram’s 60 million users to send, receive, hold and convert value directly through stablecoin rails, reducing reliance on traditional banking networks while supporting near-instant cross-border transfers. The company aims to make MGUSD the settlement layer for its global payments network, positioning stablecoins as a core component of mainstream remittance infrastructure. (11)
US Treasury signals progress on Strategic Bitcoin Reserve and CLARITY Act
U.S. Treasury Secretary Scott Bessent told lawmakers that the Treasury Department is advancing plans to establish a Strategic Bitcoin Reserve and a broader digital asset stockpile, while continuing to push for passage of the CLARITY Act this summer. The reserve is expected to be funded primarily with government-seized Bitcoin and digital assets, with the U.S. currently holding more than 328,000 BTC, making it the world’s largest known sovereign Bitcoin holder. Bessent emphasized that the Treasury is moving forward at a "deliberate speed," focusing on long-term governance, custody and regulatory best practices, while arguing that the CLARITY Act is essential for creating a clear federal framework for digital asset markets and reinforcing the U.S. position as a global crypto innovation hub. (12)
Key Ventures Deals
SignalPlus raises US$50M at US$500M valuation to expand institutional derivatives infrastructure
SignalPlus closed a US$50 million Series B1 funding round at a US$500 million post-money valuation, led by HashKey Capital with follow-on participation from BlockBooster and AppWorks. The company provides institutional-grade digital asset options and derivatives trading infrastructure, serving professional traders with multi-venue connectivity, risk management and execution tools. The new capital will be used to accelerate global expansion and support SignalPlus’ evolution from a crypto-focused derivatives platform into a broader multi-asset trading infrastructure provider. (13)
SpeedLabs raises US$6.5M seed round to build real-time sports prediction markets
SpeedLabs raised US$6.5 million in seed funding led by Parlay Capital, with participation from Bullpen Capital, TA Ventures and EdgeEquity, to accelerate the launch of its "Momentum Markets" platform. The company is building AI-powered infrastructure that creates and prices new sports prediction markets in real time based on live game events, allowing sportsbooks, prediction markets and trading platforms to offer dynamic markets as games unfold. The funding will be used to expand the team and support the commercial rollout of Momentum Markets in 2026. (14)
AMIKO secures strategic investment from High Ridge Holdings to advance AI-native Web3 infrastructure
AMIKO, a Web3 AI-native ecosystem focused on agent identity, social interaction, productivity and onchain economic participation, announced a strategic investment from High Ridge Holdings, a U.S.-based technology investment firm. The funding will support product development, ecosystem expansion and global growth initiatives, while accelerating the buildout of AMIKO’s agent-native infrastructure for identity, social coordination, payments and value exchange. As part of the partnership, AMIKO’s controlling entity, HCF Studios, and High Ridge Holdings are also preparing to establish an independent foundation to oversee long-term ecosystem governance and development, reflecting growing investor interest in AI agent infrastructure at the intersection of AI, social networks and blockchain economies. (15)
Ventures Market Metrics
The number of deals closed in the previous week was 3, with Infra having 2 deals and Social having 1 deal.
Weekly Venture Deal Summary, Source: Cryptorank and Gate Ventures, as of 8th Jun 2026
The total amount of disclosed funding raised in the previous week was $56.5M. The top funding came from the Infra sector with $50M. Most funded deals: Singalplus ($50M).
Weekly Venture Deal Summary, Source: Cryptorank and Gate Ventures, as of 8th June 2026
Total weekly fundraising declined to $50.5M for the second week of June-2026, a decrease of 89% compared to the week prior.
About Gate Ventures
Gate Ventures, the venture capital arm of Gate.com, is focused on investments in decentralized infrastructure, middleware, and applications that will reshape the world in the Web 3.0 age. Working with industry leaders across the globe, Gate Ventures helps promising teams and startups that possess the ideas and capabilities needed to redefine social and financial interactions.
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Reference:
S&P Global Week Ahead Economic Preview, https://www.spglobal.com/market-intelligence/en/news-insights/research/2026/06/week-ahead-economic-preview-week-of-8-june-2026
DXY Index, TradingView, https://www.tradingview.com/chart/z1UD772v/?symbol=TVC%3ADXY
US 10 Year Bond Yield, TradingView, https://www.tradingview.com/chart/B9cgEklh/?symbol=TVC%3AUS10Y
Gold Price, TradingView, https://www.tradingview.com/chart/z1UD772v/?symbol=TVC%3AGOLD
BTC & ETH ETF Inflow, https://sosovalue.com/tc/assets/etf/us-btc-spot
BTC Greed and Fear Index, https://alternative.me/crypto/fear-and-greed-index/
STRC Dashboard, https://bitcoinquant.co/preferred-equity
ZCash Exploit, https://www.coindesk.com/markets/2026/06/05/zcash-plummets-30-as-developer-reveals-a-major-bug-that-went-undetected-for-four-years?utm_source=chatgpt.com
Arthur Hayes fully exited HYPE and NEAR position, https://beincrypto.com/arthur-hayes-dumps-hype-near-reversal/?utm_source=chatgpt.com
Mastercard expands stablecoin settlement across global payments network, https://cointelegraph.com/news/mastercard-stablecoin-settlement-usdc-pyusd-rlusd
MoneyGram launches MGUSD stablecoin and moves remittance infrastructure onchain, https://cointelegraph.com/news/moneygram-mgusd-stablecoin-remittance-onchain-rails
US Treasury signals progress on Strategic Bitcoin Reserve and CLARITY Act, https://cointelegraph.com/news/us-treasury-secretary-clarity-act-bitcoin-reserve
SignalPlus raises US$50M at US$500M valuation to expand institutional derivatives infrastructure, https://www.prnewswire.com/news-releases/signalplus-closes-b1-round-at-us500m-valuation-to-accelerate-global-expansion-and-advance-derivatives-trading-technology-302787253.html
SpeedLabs raises US$6.5M seed round to build real-time sports prediction markets, https://www.finsmes.com/2026/06/speedlabs-raises-6-5m-in-seed-funding.html
AMIKO secures strategic investment from High Ridge Holdings to advance AI-native Web3 infrastructure, https://www.feixiaohao.ai/news/126387?tab=article
