The hidden hand behind the market crash is the US Dollar. As hopes for a Fed rate cut fade, the dollar has surged in strength. A strong dollar is a wrecking ball for global assets. It makes gold (priced in dollars) more expensive for foreign buyers, driving demand down. It sucks liquidity out of crypto. It hurts the earnings of US tech companies with global sales.
This currency dynamic is a major factor in the $1 trillion crypto wipeout. Bitcoin is essentially a hedge against the dollar; when the dollar is strong, Bitcoin is weak. The drop to $91,212 is a direct reflection of dollar dominance.
Asian and European markets are also victims. The fall in the Nikkei and Stoxx 600 is partly due to capital fleeing those regions to chase the high yield of the US dollar.
Until the dollar weakens—which requires the Fed to cut rates—the pressure on risk assets will remain relentless. Investors are fighting a currency war they cannot win.