The cryptocurrency market bled profusely Thursday, as investors shuddered about the movement of billions of Bitcoin (CRYPTO: BTC) ahead of a probable sell-off.

Read Next:

• If you invested $100 in DOGE when Elon Musk first tweeted about it in 2019, here’s how much you’d have today.

• Amid the ongoing EV revolution, previously overlooked low-income communities now harbor a huge investment opportunity at just $500.

What Happened: Bitcoin nosedived to the $57,000 zone, its lowest since Feb. 28. Since the beginning of this week, the world's largest digital asset has slumped 9.5%, nearly 21% down from its all-time high clocked earlier this year.

The second-largest cryptocurrency, Ethereum, also crashed to a six-week low, erasing all the gains made since the hype of spot ETF approvals in mid-May.

The sell-offs were precipitated by the movement of 47,228 Bitcoin, worth $2.7 billion, by defunct cryptocurrency exchange Mt. Gox from a cold wallet to a new wallet, possibly in preparation for payouts to its creditors.

The slump forced the largest wave of liquidations since mid-April, as $541.45 million in future contracts was wiped out in the last 24 hours. Long liquidations accounted for a whopping $472 million.

Bitcoin's Open Interest plunged 7% in the last 24 hours. A fall in price, coming alongside a fall in OI, is viewed by some analysts as a good sign because they think the downtrend will end once all long sellers have closed their positions.

Trending: 1 in 4 Americans own a share of Bitcoin according to NASDAQ, how many people got started through this free crypto faucet?

The Cryptocurrency Fear & Greed Index flashed a "Fear" signal, implying that investors were bearish on the market prospects. But such conditions also provide buying opportunity for bold dip buyers.

Top Losers (24-Hours)

The global cryptocurrency market cap stands at $2.09 trillion, following a 6.06% fall in the last 24 hours.

Stock futures traded flat Thursday night. The Dow Jones Industrial Average Futures is up 0.08%, as of 9 p.m. EDT.  Futures tied to the S&P 500 gained 0.01%, while Nasdaq 100 Futures slipped 0.03%.

Markets will open on Friday after the Fourth of July break. Investors have now set their eyes on the release of June jobs data.

See More: Best Cryptocurrency Scanners

Analyst Notes: Widely followed cryptocurrency analyst Ali Martinez sounded a bearish alarm, with more potential downsides to follow for Bitcoin.

"Bitcoin closing below $57,000 could spell trouble, with potential support only at $51,000," Martinez stated.

"If BTC can break past this level, the next significant target is $78,700," Martinez explained.

In a positive forecast, popular analyst Rekt Capital highlighted the possibility of King Crypto peaking around mid-September or mid-October 2025.

"The longer Bitcoin consolidates after the Halving, the better it will be for synchronizing this current cycle with the traditional halving cycle," the trader opined.

Read Next:    

• Elon Musk and Jeff Bezos are bullish on one city that could dethrone New York and become the new financial capital of the US. Investing in its booming real estate market has never been more accessible.

• Gen Z and Millennial millionaires couldn't care less for stocks and bonds — Here's what they're buying instead.

"ACTIVE INVESTORS' SECRET WEAPON" Supercharge Your Stock Market Game with the #1 "news & everything else" trading tool: Benzinga Pro - Click here to start Your 14-Day Trial Now!

Get the latest stock analysis from Benzinga?

This article Bitcoin, Ethereum, Dogecoin In Full Meltdown As Mt.Gox Moves $2.7B To New Wallet: King Crypto Decline To $51K Feared By Analyst originally appeared on Benzinga.com