Over the coming days/weeks, there likely will be more information as to the damage done. Balance sheet contagion, while natively a byproduct of traditional finance and fractional reserve banking, has hit the bitcoin/crypto market.

This means that large amounts of dollar-denominated obligations exist against a fixed amount of crypto assets that can be pledged as collateral/sold. This is particularly why the market has plunged in the weeks following the crash of UST, and now the failure of Celsius and 3AC.

While bitcoin is already down 70% from its all time high, the increasingly volatile nature of the legacy financial system recently along with the contagion risk spreading around the crypto market signals that more pain is likely to come.