$510B crypto sell-off wipes 2024 gains for top 50 coins

Over half of the 50 largest cryptocurrencies by market capitalization are in the red following the biggest crypto sell-off in over a year.

“After Black Monday, 60% of coins in the top 50 have removed all profit since the beginning of 2024 and even get losses.”

What caused the crypto market sell-off?

The brutal crypto market sell-off was caused by a combination of macroeconomic and industry-specific developments.

On Aug. 5, the Bank of Japan announced that it was raising its interest rate from 0% to 0.25%.

Japan’s decision had a direct impact on the United States stock market and Bitcoin price as well, as traders borrowed Japanese yen at low interest rates to buy assets in the US market.

The market makers include Wintermute, which sold over 47,000 ETH, followed by Jump Trading, with over 36,000 ETH, and Flow Traders, with 3,620 ETH, in third place.

The Ether selling from market makers has significantly contributed to Ether’s price decline.

Memecoins see the biggest loss, led by WIF and PEPE

Looking at the 50 largest tokens by market capitalization, some of this cycle’s most popular memecoins have taken the biggest loss.

Because memecoins lack intrinsic value, their price increases are primarily driven by social media hype and attention from retail investors. As a result, meme tokens are often the hardest hit during a crypto market correction.