The crypto market is seeing a sea of red as total market capitalization falls below $4 trillion, with Bitcoin down 3% and Ether dropping 6%. Liquidations of $1.7 billion in crypto derivatives positions hit traders hard, with bullish bets on Ether and Bitcoin taking the biggest hits.

Following the Federal Reserve’s signal of a rate decrease, crypto assets tumbled. Crypto treasury companies, like Strategy, have faced pressure despite the recent surge in companies adding Bitcoin to their balance sheets. Strategy’s stock, down 1.3%, has seen a 2,200% surge since entering the Bitcoin market.

Imitators of Strategy are feeling the heat as some 94 firms struggle with sagging market caps below their Bitcoin holdings. This prompted the first merger in the Bitcoin treasury space, with Semler Scientific’s stock rising 27% following an acquisition agreement with Strive Inc.

Regulatory wins and the Trump administration’s support have led to a surge in US-listed crypto IPOs this year. Stablecoin company Circle, blockchain lender Figure, and exchanges Bullish and Gemini have all gone public. However, their stocks are down on Monday, with Circle falling 5% and Figure down 4%.

Bitmine Immersion Technologies, with 2.15 million in Ether, saw its stock drop 7% amid the crypto market slump. The embrace of digital assets by the Trump administration has boosted the crypto world, leading to a string of US-listed crypto IPOs and regulatory wins.

Read more at Yahoo Finance: New rout in bitcoin ripples through crypto world today