Reasons for the Sharp Decline in Cryptocurrencies

There are several reasons behind the sharp decline in cryptocurrencies, including:

- *Geopolitical tensions and shifts in opinion regarding the US presidential election*: Geopolitical tensions and shifts in opinion regarding the US presidential election affected market stability.

- *Japanese Yen Depegging*: The depegging of the Japanese yen contributed to the decline in cryptocurrency prices, as the US dollar rose against the Japanese yen, leading to a decline in global markets.

- *Economic Recession Fears*: Fears of an economic recession have increased after the publication of alarming unemployment rates in the United States, leading to expectations of an emergency interest rate cut by the US Federal Reserve.

- *Mt. Gox Compensation Distribution*: The overall impact of the Mt. Gox compensation distribution has yet to be seen, which could affect market stability.

- *Jump Crypto Position Sell-Off*: Major trading company Jump Crypto may be selling its positions, increasing pressure on the market. - *Massive Sell-Off*: A mysterious Solana whale transferred $120 million in SOL from various validators and sent the coins to Coinbase Prime.

- *Cryptocurrency-Specific Reasons*:

- *Lack of Hard Assets*: There are no hard assets to protect the value of cryptocurrencies, which increases investment risk.