The recent drop in cryptocurrency prices is due to several factors:

1. US Government’s Crypto Reserve Announcement – Investors were expecting the US government to buy more Bitcoin after an announcement by Donald Trump. However, it was later revealed that the government would only use Bitcoin seized from criminal cases. This disappointed investors, causing Bitcoin’s price to drop by about 6%.

2. Negative Sentiment on Bitcoin ETFs – Investors have shown less enthusiasm toward Bitcoin ETFs, leading to a decline in demand.

3. Security Concerns & Hacks – A recent hacking incident on Bybit, a popular crypto exchange, has also created fear in the market.