TORN Price Drops 45% After US Treasury Sanctions Tornado Cash - Rebound?

TORN is near a historically strong support range, eyeing a 75% rebound by September 2022.

Altcoin Watch

Tornado Cash (TORN) lost nearly half of its market valuation two days after being sanctioned by the US Treasury Department.

The department has accused Tornado Cash, a crypto mixing platform, of laundering more than $7 billion worth of cryptocurrency, including a $455 million stash that was allegedly stolen by hackers based in North Korea.

Immediate reactions were followed by US-based crypto companies including Circle and Coinbase. In a controversial move, popular crypto firms blocked movements of their jointly issued USDC stablecoin tied to blacklisted Tornado Cash smart contracts.

TORN price drops 45%

The news prompted traders to limit their exposure to TORN, the native token of Tornado Cash.

On the daily chart, TORN's price has fallen about 45% since the Justice Department's Tornado Cash advisory, reaching $18.50 on August 10. In contrast, the valuation of all crypto assets had only plunged 6% in the same time frame.