Bitcoin fell to $66,000 on Silk Road BTC move, with Solana's SOL leading the major cryptocurrency declines

Bitcoin fell to $66,000 early Tuesday, erasing all of last week's gains, as a large number of assets were moved out of wallets linked to the U.S. government, market sentiment weakened, making traders suspicious of potential selling pressure.

Bitcoin fell as much as 5% in the last 24 hours before recovering slightly. Earlier, the U.S. Marshals Service transferred $2 billion worth of bitcoin to two new wallets. Tracking service Arkham estimates that at least one of those wallets may belong to a managed service.

Solana's SOL led the way lower for major cryptocurrencies, plunging 6 percent, reversing Monday's gains. As meme-coin trading on the network heated up over the weekend, the on-chain volume surpassed that of Ethereum, which is usually the leader, sending the token's price soaring.

Against the backdrop of Bitcoin's decline, other major cryptocurrencies have seen similar declines. Cardano's ADA fell 5%, Dogecoin (DOGE) and BNB Chain's BNB fell 4%, while XRP fell 3%.

While the Token's recently launched spot ETH ETF saw net outflows of $97 million on Monday, its fourth straight day of net outflows, Ether was a relatively strong performer, falling just 1%.