The sanction was on tornado cash specifically and not on Ethereum or cryptocurrencies as a whole. The latter would be similar to banning cars IMO.
It so happens that, until very recently, our government keepers have enjoyed unfettered access to data about our lives on a scale that is unprecedented. We will continue to see this same battle "privacy is only to the benefit of criminals" play out over and over in every medium.
For me, I prefer privacy and for government investigators to be forced to do their job. This has the unfortunate (for Americans) side effect of unraveling much of the American financial hegemony.
That's an extraordinary claim. Do you have any data or arguments to back that up? Millions (billions?) of people use those technologies every day for non-criminal purposes. Are there really more criminals out there using them for nefarious purposes?