Bitcoin, Ethereum, and Solana saw significant drops during the Asian session. The sell-off was fueled by leverage unwinding and shifting Fed rate expectations, leading to a rapid decline in market sentiment. Despite volatility, spot flows and ETF behavior remain stable, suggesting a strategic reset rather than panic selling or macro-driven capitulation. While there were unusual sharp declines on Tuesday, a closer look reveals the sell-off was largely driven by unwinding of leveraged positions. This move occurred during low-liquidity hours, rather than peak volume sessions. The timing aligns with recent shifts in Fed rate expectations and suggests this is not a reaction to one specific news event but rather a market correction triggered by changes in positioning.