The crypto market witnessed a significant downturn of $120 billion in value after the U.S. Treasury announced its halt on Bitcoin purchases. This action, coinciding with a key Federal Reserve speech, has impacted investor sentiment and liquidity in the cryptocurrency space. While Bitcoin prices declined following a recent record high, Ethereum remained relatively stable. The decision to stop purchasing Bitcoin for reserves, instead opting for asset seizures to manage existing holdings, is expected to minimize market volatility. Market analysts have pointed out that this shift reflects broader trends in market stability and policy influence on government assets. The impact of this halt has been particularly pronounced on leveraged trades, resulting in over $1 billion in liquidations. Experts suggest the decline could be a healthy correction amidst anticipated bullish cycles.**