Crypto Market Plunges as Mt. Gox-Linked Wallet Movements Spook Traders

Major cryptocurrencies experienced a significant drop of up to 20% in the last 24 hours due to movements from a wallet linked to Mt. Gox, causing panic among traders and resulting in a 10% drop in the market on average. Bitcoin fell 8% to below $54,000, erasing all gains since February, while Ether dropped over 10%, and other cryptocurrencies such as Solana's SOL, Cardano's ADA, and Dogecoin also experienced significant drops. This event resulted in over $580 million in liquidations tied to longs, with bullish bets on Bitcoin and Ether alone recording over $300 million in losses. The defunct exchange Mt. Gox's move of sizeable amounts of BTC to a new wallet, potentially preparing for creditor repayments, may add selling pressure to both markets, leading to a subdued Q3 for BTC, according to trading firm QCP Capital.