The cryptocurrency market lost approximately $100 billion in value late Sunday as fears of a U.S. government shutdown intensified. The total market capitalization fell from $2.97 trillion to $2.87 trillion within six and a half hours, driven by political tensions over Department of Homeland Security funding. Bitcoin dropped 3.4% and Ether declined 5.3% during the same period. The sell-off resulted in over $360 million in leveraged positions being liquidated, with $324 million in long contracts. The political uncertainty, including debates over DHS funding and broader tariff discussions, has heightened risk-off sentiment, impacting both crypto and traditional markets. Prediction markets now estimate an 80% chance of a U.S. government shutdown by the end of January.