Cryptocurrency Market in Turmoil: Bitcoin, Ethereum, Dogecoin Plunge as Mt.Gox Transfers $2.7B to New Wallet
The cryptocurrency market experienced a significant downturn on Thursday, with Bitcoin, Ethereum, and Dogecoin all taking a hit. The cause of the sell-off was attributed to the movement of $2.7 billion worth of Bitcoin by the defunct exchange Mt. Gox, sparking fears of a potential sell-off.
Bitcoin plummeted to the $57,000 range, its lowest point since February, while Ethereum also dropped to a six-week low. The sell-offs were further exacerbated by the largest wave of liquidations since mid-April, wiping out $541.45 million in future contracts.
Analysts are divided on the future direction of Bitcoin, with some predicting a further decline to $51,000, while others see a potential peak around mid-September or mid-October 2025. The Cryptocurrency Fear & Greed Index flashed a “Fear” signal, indicating bearish sentiment among investors.
Despite the market downturn, some analysts see buying opportunities for bold dip buyers. The global cryptocurrency market cap currently stands at $2.09 trillion, following a 6.06% decline in the last 24 hours.
Investors are now turning their attention to the release of June jobs data, as stock futures traded flat on Thursday night. The Dow Jones Industrial Average Futures were up 0.08%, while futures tied to the S&P 500 gained 0.01% and Nasdaq 100 Futures slipped 0.03%.
Overall, the cryptocurrency market is facing a period of uncertainty, with potential further declines on the horizon. Investors are advised to proceed with caution and closely monitor market developments in the coming days.
