Crypto Market Plunges: Altcoins Tumble Amidst SEC Uncertainty and Bybit Hack

The cryptocurrency market has experienced a significant downturn, with the average price of digital assets dropping by more than 2% in the past 24 hours. While Bitcoin has remained relatively stable around $95,000, altcoins have suffered substantial losses. The top five altcoins with the most significant declines include Raydium (RAY), Hyperliquid (HYPE), Ethena (ENA), Pyth Network (PYTH), and Optimism (OP), which have fallen by 25%, 10%, 9%, 8%, and 7% respectively.

The sharp decline in altcoin prices has left investors questioning the reasons behind the latest market downturn. Several key factors are contributing to the market slump. Firstly, investors are closely watching the U.S. Securities and Exchange Commission’s (SEC) decision on new crypto ETFs. The lack of approvals is creating uncertainty, leading to a pause in buying activity and fresh investments. Secondly, many investors are cashing in on gains made during the last bullish rally, triggering sell-offs that put downward pressure on prices. Lastly, the recent $1.4 billion hack on Bybit has raised security concerns within the crypto community, leading to panic selling as traders worry about the safety of their assets.

While Bitcoin has remained resilient at $95,000, the broader market sentiment appears shaky. Whether this is a temporary correction or the start of a larger downturn remains to be seen. Investors will be watching for any developments on SEC ETF approvals and security measures following the Bybit hack to gauge where the market heads next.