Why did crypto crash, and what should investors do ?

The crypto market has experienced a significant crash recently, with Bitcoin losing more than half its value since its November 2021 peak. The crash was triggered by several factors:

Fear among investors after Mt. Gox's $9 billion bitcoin transfer and slowing inflows of new money into the crypto market.

The collapse of TerraUSD (UST) and Terra (LUNA), which caused a ripple effect across the crypto market, resulting in investors withdrawing their money.

High inflation and tighter monetary policy by the Federal Reserve, which affected crypto investors as well.

Geopolitical conflicts that heightened global risk aversion, leading investors to pull out of volatile assets like cryptocurrencies in favor of safer investments.

As for what investors should do, experts recommend staying calm, assessing the situation, remembering that volatility is the name of the game, evaluating the future, and determining how to act based on their risk tolerance and investment goals. It's crucial to avoid making emotional decisions and to invest only what you can afford to lose.