This round of sharp decline has once again made the market realize the high volatility risk of crypto assets. On the evening of May 16th, Bitcoin, under the narrative of safe-haven, instead fell below $78k, Ethereum dropped to about $2,180, and mainstream coins like SOL and Dogecoin generally fell more than 3%-5%. Data from Coinglass shows that over 150k traders were liquidated globally within 24 hours, with a total liquidation amount of approximately $694 million, and long positions accounting for as much as 96%. When the price plummeted and triggered chain reactions of forced liquidations, more accounts were wiped out with a single click, ultimately forming a death spiral of "decline - liquidation - further decline."

This round of decline is caused by multiple factors stacking up, triggering systemic risk. On the macro level, the U.S. April CPI year-over-year accelerated to 3.8%, PPI soared 6.0% year-over-year, and inflation pressures far exceeded expectations. The 10-year U.S. Treasury yield broke through 4.55%, and the 30-year Treasury yield climbed to 5.1%, directly suppressing the valuation of non-yielding assets like Bitcoin, with capital accelerating to flow into the bond market with stable returns. Geopolitically, expectations of Israeli military strikes on Iran pushed WTI crude oil to $105 per barrel, and panic quickly spread to the crypto market. On the technical side, options worth $2.6 billion on Bitcoin, Ethereum, and other assets expired the previous day, and the volatility in the derivatives market combined with leverage liquidations, further amplifying the decline.

In summary, this round of decline once again proves that since its inception, crypto assets have high leverage and emotion-driven characteristics. Under the dual pressures of monetary tightening and geopolitical conflicts, the narrative of "digital gold" as a safe haven has not yet formed. For ordinary investors, controlling leverage and improving risk management are necessary bottom lines for long-term survival. #加密市场下跌15万人爆仓