- Alts suffered heavy losses on Tuesday as Ethereum yielded a key level.
- Tokens lost more than $2B amid a broader sell-off.
- New U.S. sanctions on North Korea sparked concerns of tighter crypto regulation.
Digital assets experienced another decline today as Bitcoin fell to $102,425 after dropping nearly 4% over the past 24 hours.
Altcoins extended their losses as Ethereum plunged more than 6% to $3,401.
The global cryptocurrency market dropped about 3% yesterday to $3.43 trillion.
Amid the broader bloodletting, tokens linked to decentralized exchanges appeared to be among the hardest hit.
According to CoinGecko data, the total market value of DEX-related tokens fell from $18.511 billion to $16.381 billion in the last 24 hours.
That represents a roughly 13% decline, reflecting a notable price drop in a sector many expected to lead the next phase of crypto evolution.
Leading tokens in this category, including ASTER, HYPE and JUP, each fell more than 10% in a single day.
DEX tokens are showing heavy selling pressure, suggesting further downside flows before any potential rebound.
Sanctions raise uncertainty over regulation
Crypto market sentiment has cooled recently.
A number of developments contributed to the current downtrend.
For example, comments by the Federal Reserve governor introduced additional uncertainty about December interest rate decisions during a recent Bloomberg Surveillance interview.
Bearish momentum intensified after DeFi platform Balancer was hacked for more than $100 million.
In addition, Stream Finance’s decision to freeze withdrawals and depeg a stablecoin stoked further concern.
The U.S. Treasury exacerbated market pressure when it announced new sanctions targeting North Korea-related crypto activity.
The Office of Foreign Assets Control confirmed sanctions on entities and individuals tied to IT worker fraud and crypto-enabled crime used to fund North Korea’s missile program.
The statement noted:
“Over the past three years, cybercriminals affiliated with North Korea have stolen more than $3 billion in cryptocurrency, often using sophisticated malware and social engineering techniques.”
(Source: U.S. Treasury social post)
That announcement triggered panic across markets because it suggested stricter crypto regulations and the prospect of more aggressive enforcement actions.
Such developments could produce a regulatory domino effect, increasing scrutiny of DeFi projects and exchanges.
Market participants may begin trimming exposure as sanction updates emerge, accelerating wider selling pressure.
Crypto market outlook
The crypto market is under heavy selling pressure.
Data from Coinglass shows liquidations surged past $1 billion in the last 24 hours.
Long positions accounted for most of the pain at $845 million, while shorts made up $183 million.
Bitcoin recently lost a key support zone at $107,500 during the drop from this week’s high above $115,300.
It appears poised to extend the decline toward the psychologically important $100,000 level before a clearer trajectory emerges.
Consequently, altcoins — including DEX tokens — are likely to fall further from current prices before stabilizing and potentially bouncing back.