Crypto Market Takes a Hit as Bybit Reports $1.5B ETH Outflow

Cryptocurrency markets faced a sharp downturn on Friday following reports that crypto exchange Bybit had recorded an unexpected $1.5 billion outflow of ether (ETH), raising concerns about a potential security breach.

Bitcoin (BTC) pulled back to $97,000 after nearing the $100,000 milestone earlier in the day, while ether (ETH) dropped nearly 4% to trade below $2,700.

The sudden sell-off triggered roughly $100 million in liquidations, primarily impacting leveraged long positions, according to data from CoinGlass.

On-chain investigator ZachXBT was among the first to highlight the massive ETH movement, calling it “suspicious.” Bybit CEO Ben Zhou later confirmed that the exchange had been hacked, further rattling investor sentiment.