What is the impact of today's cryptocurrency market crash on the market?

I. Cryptocurrency Market

1. Major cryptocurrencies have significantly declined: Bitcoin plunged over 5% in a single day to $87,200, erasing all gains for the year, with a cumulative drop of over 7% this year; Ethereum fell over 5.5% to $2,853, while Cardano, XRP, and other cryptocurrencies dropped by over 3%-6%.

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2. Liquidation scale surges: Over $830 million in contracts liquidated across the network within 24 hours, with the number of liquidated accounts reaching 227,000; more than 83% of liquidations were from long positions, with the largest single liquidation amount reaching $30,917,600.

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3. Market sentiment and expectations deteriorate: $BTC Bitcoin forms a 'death cross' technical pattern, with a 50% probability of falling below $90,000 by the end of the year, and only a 30% probability of breaking $100,000; institutional divergence intensifies, with some bears believing the market has entered a bear cycle.

II. Stock Market

1. Tech stocks become the hardest hit: U.S. stocks like SanDisk fell over 20%, Micron Technology dropped over 10%, and Japanese and Korean tech stocks such as SoftBank Group fell nearly 9% and SK Hynix fell over 8%; more than 200 stocks in the A-share blockchain sector dropped, with stocks like Huaying Agriculture and Hua Sheng Tian Cheng hitting the limit down.

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2. Global stock markets adjust in tandem: The Korean Composite Index fell over 3%, the Nikkei 225 index dropped over 2%, and the MSCI Asia-Pacific index fell more than 2%; cross-market funds passively sold stocks to replenish margins, triggering a chain reaction of declines.

III. Capital and Market Confidence

1. Capital flow differentiation: Cryptocurrency ETFs experienced capital outflows for five consecutive weeks, totaling $2.6 billion; however, long-term investors increased their positions against the trend, with MicroStrategy and the Salvadoran government buying Bitcoin at lower prices.

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2. Risk aversion sentiment rises: Capital flows into safe assets, with the yield on U.S. 10-year Treasury bonds down 8 basis points; gold and the U.S. dollar strengthen simultaneously, while market confidence in risk assets remains low in the short term.