The cryptocurrency market has experienced a significant downturn following the US CPI decision and FED statements, with Bitcoin's decline having a ripple effect on Ethereum and Curve Finance. Curve Finance's CRV token faced a substantial 24% drop, trading at $0.27, with exchange reserves reaching an all-time high. This downward trend has sparked liquidations, adding pressure on the price and increasing the downward spiral.

According to data, the altcoin faces a liquidation risk worth $140 million, attributed to Michael Egorov's $141 million move across five different protocols. The price drop has led to intense selling pressure, with the token's price falling from $0.41 to $0.35 in just two days. Despite a brief 2.74% increase, the price continues to plummet, sparking fear, uncertainty, and doubt (FUD) among investors.

The transfer of tokens from private wallets to exchanges has also increased, indicating that investors are preparing to sell their assets. This movement has resulted in exchange reserves reaching an all-time high, surpassing 627 million, a sign that most shareholders are liquidating their assets, potentially driving the price even lower.

This market volatility highlights the interconnectedness of the cryptocurrency ecosystem, where the decline of one major player can have far-reaching effects on others. As investors navigate this uncertain landscape, it is essential to conduct thorough research and stay informed to make informed decisions.