Cryptocurrency ETFs are experiencing broad declines, with traders reacting to a confluence of bearish catalysts. As of writing, the CSOP Leveraged Long Coinbase (07711) has tumbled 14.18% to HK$21.66, while the CSOP Leveraged Long MSTR (07799) is down 4.82% to HK$3.398. Meanwhile, the Harvest Ether ETF (03179) has slipped 3.03% to HK$5.605.

The sharp selloff follows a violent downturn on September 16, when both Bitcoin and Ethereum prices crashed to their lowest levels since June. The trigger was the failure of the Digital Asset Market Structure Clarity Act to pass a procedural vote in the US Senate, delivering a severe blow to the crypto industry's efforts to establish a comprehensive federal regulatory framework.

Adding to the pressure, the upcoming Federal Reserve rate decision has intensified market anxieties. A surge in US Treasury selling has pushed the 10-year yield to its highest point since 2007, further fueling liquidity concerns and dramatically souring sentiment across the cryptocurrency sector. Investors are now bracing for heightened volatility as these risks converge.