May was a tumultuous month with Bitcoin leading the entire market down 50%+ from the highs puncturing confidence in the extremely bullish sentiment of recent months. Bitcoin ended the month down (37%) with Ethereum faring slightly better down just (6.3%) on the month but with an annualized range of 532%.
The month of May was a demonstration of two market features we frequently discuss. First, is that the instability of these markets is a feature, not a bug. Despite exponential growth in every aspect of the asset class, the markets are as volatile today as they were five years ago and that is unlikely to change in the short to medium term. Second, is that price and narrative are the fundamentals and the market (Bitcoin in particular) took a serious hit this month as environmental and regulatory concerns became the headline story.
Our systematic approach to trading prioritizes capital protection in uncertain market environments and aims to deliver superior risk-adjusted returns relative to a buy-and-hold approach.