The cryptocurrency market is facing a significant crisis, losing $325 billion since Friday, including a $100 billion drop within one hour. Following the recent hack of Bybit and other market disruptions, even memecoins are under pressure.
Market Decline
Since the crash on Friday, the cryptocurrency market has lost $325 billion. The largest decline was when $100 billion disappeared within one hour. Despite the magnitude of the event, there were no major headlines in the media.
Bybit and Ethereum's Role in the Crisis
The panic started with Bybit's hack on February 21, when North Korea's Lazarus Group stole $1.5 billion from Bybit's Ethereum wallets. According to statements from Bybit CEO Ben Zhou, losses will be covered, but confidence remains shaken, amplifying fears of another FTX-style collapse.
Challenges for Bitcoin and Memecoins
Bitcoin, initially holding up against the crisis, broke down following the S&P 500's drop, unexpectedly losing its critical $98,000 support level. Solana and other memecoins also suffered, losing over 22% during the weekend. This is exacerbated by sell-offs ahead of the upcoming unlocking of SOL tokens on March 1.
The crisis in the cryptocurrency market indicates ongoing challenges in the industry. The impact of recent events will continue to be felt across all levels of the financial community.
