The recent sharp decline in cryptocurrency assets is mainly due to threefold pressure:

Macroeconomic tightening: The Federal Reserve has paused interest rate cuts, the new chairman's nomination leans hawkish, expectations for liquidity easing have failed, and funds are withdrawing from high-risk assets.

Leverage collapse: High-leverage long positions have been liquidated in succession, ETF funds continue to flow out, and the market has fallen into a negative feedback loop of "decline-liquidation."

Narrative instability: Bitcoin has fallen in sync with risk assets, the "digital gold" safe-haven attribute is being questioned, compounded by regulatory pressure, market sentiment has plunged into extreme fear.

In the short term, it is still in the clearing phase, and volatility may continue. $BTC $ETH