Crypto markets faced a sharp downturn on Tuesday, with Bitcoin (BTC) dropping to $113,000 and dragging down crypto-related equities. Major digital asset firms, miners, and treasury-backed companies reported substantial losses as investor risk appetite waned ahead of Federal Reserve Chair Jerome Powell’s highly anticipated address at Jackson Hole.
Strategy drops to its lowest since April
MicroStrategy (MSTR), the largest corporate holder of Bitcoin, fell 7.8% to $336, marking its weakest close since April 22. The company’s heavy Bitcoin exposure made it one of the most visible casualties of the day’s selloff.
Treasury-backed firms tumble
Ethereum treasury companies also suffered. SharpLink Gaming (SBET) and BitMine (BMNR) each lost between 8% and 9%. Solana-focused investors DeFi Development (DFDV) and Upexi (UPXI) saw even deeper declines, plunging 13.7% and 9%, respectively.
Digital asset firms and exchanges decline
Galaxy Digital (GLXY), a major digital asset investment firm, shed 10%. Robinhood (HOOD) dropped 6.5%, while Coinbase (COIN), the largest publicly traded U.S. crypto exchange, fell 5.8%.
Bitcoin miners and HPC firms under pressure
Mining firms were not spared. MARA Holdings (MARA) slipped nearly 6%. High-performance computing (HPC) leaders Bitdeer (BTDR), IREN (IREN), and Hut 8 (HUT) all plunged by nearly 10%, signaling investor unease across the sector.
Market jitters ahead of Fed speech
The selloff coincided with growing caution as markets await Powell’s remarks at the annual Jackson Hole economic symposium. Traders fear that a hawkish stance could tighten liquidity further, adding pressure on risk assets like cryptocurrencies and growth equities.
Despite Bitcoin’s recent resilience, the latest downturn highlights how deeply correlated crypto remains with macroeconomic sentiment. Analysts now warn that if Powell signals prolonged restrictive monetary policy, crypto-linked equities could face further volatility in the days ahead.
