The core trigger for today's big dump in the market has become clear. It does not stem from China's regulation of crypto assets; otherwise, the fall would have occurred earlier over the weekend. It is also unrelated to the rumors of Powell resigning—his term is set to end next June, and given his usual sense of responsibility and principles, it is unlikely he would leave office early due to political pressure.

The real turning point occurred around 8 a.m. Beijing time this morning when the Bank of Japan released signals for interest rate hikes. After the news was announced, the USD/JPY exchange rate and the Crypto Assets market both plummeted sharply, with the timing closely matching. Essentially, this is a tightening signal with lasting effects: another important liquidity "pump" globally is slowing down the release of liquidity and even starting to withdraw it, putting pressure on assets that rely on a loose monetary environment.