Crypto Market Sees $488M Liquidation as Rate Hikes Loom

The crypto market faced intense volatility on August 29 as Federal Reserve Chair Kevin Warsh hinted at continued tighter monetary policy, reigniting rate-hike expectations that contributed to a $488 million crypto liquidation cascade.

In parallel, U.S. banking regulators finalized a rule aimed at curbing crypto debanking by defining 'unsafe practices'. Meanwhile, Italy reported 88% of point-of-sale transactions are now contactless, highlighting the growing intersection between traditional finance and digital assets.

The structural developments in the ETF ecosystem continued to attract capital despite the macro headwinds. An altcoin-focused spot ETF surpassed $1 billion in assets for the first time, demonstrating resilience in a downturn.