The cryptocurrency world got a jolt on Sunday as Polyhedra Network’s ZKJ token collapsed over 60% in a single day, wiping out hundreds of millions in market value. From a market cap of $625 million, the figure nosedived to just $236 million in 24 hours, sending traders scrambling for answers—and exits.
This wasn’t just another rough weekend for crypto. It was a full-blown wipeout. ZKJ dropped to $0.30, marking an 88% decline from its peak earlier this year. That’s not a typo.
Sudden Plunge, Scattered Theories
It all happened in a flash. Traders woke up to the familiar horror of red charts and margin calls. But what caused it?
The official explanation from Polyhedra’s team was somewhat vague. They blamed “abnormal on-chain transactions” on the ZKJ/KOGE trading pair. Sounds technical—but also convenient.
In just a few minutes, millions of tokens were dumped. Binance stepped in, confirming that large holders—very likely insiders—had yanked liquidity off the chain, sparking a brutal liquidation domino effect. Once the market started to slide, it turned into a landslide.
Whispers on X and the Insider Puzzle
It didn’t take long before crypto sleuths on X (formerly Twitter) started putting the pieces together. One user highlighted a batch of transactions showing Polyhedra moving about $40 million worth of ZKJ to a dozen addresses. Not long after, the dumping began.
The suspicion? Insiders pulling a fast one.
To be fair, the official line from the team paints a more controlled picture. They reassured followers that the technology remains sound and the community is intact. But that’s exactly what Mantra said before its token dropped 90%. Investors haven’t forgotten.
A Deadly Echo of Mantra’s Collapse
There’s something eerily familiar about all this. Mantra’s OM token saw a 90% drop a few months ago. Like ZKJ, it happened on a Sunday. And like ZKJ, it came with a flurry of explanations involving liquidations and vague structural shifts.
What followed for OM was a textbook dead-cat bounce. The token rebounded temporarily—briefly luring back hopeful retail investors—only to drop another 74% from that rebound peak.
This script seems to be repeating itself.
• ZKJ falls 60% in a day
• Market cap drops by over $389 million
• $97 million in long positions liquidated
• Whale addresses offloaded massive volumes
And despite all that, the dev team says the fundamentals are still solid. Maybe. Maybe not.
Table: ZKJ Price and Market Cap Timeline (Past 72 Hours)
| Date & Time (UTC) | ZKJ Price (USD) | Market Cap (USD) | Event |
|---|---|---|---|
| June 14, 12:00 PM | $2.45 | $625M | Normal trading |
| June 15, 11:00 PM | $1.21 | $410M | First sell-off signs |
| June 16, 4:00 AM | $0.58 | $290M | Major liquidity pulled |
| June 16, 8:00 AM | $0.30 | $236M | Post-dump floor hit |
If you were betting long on ZKJ, you probably got crushed. According to CoinGlass data, bulls were completely wiped out. Total liquidations crossed $97 million as stop losses got hit one after another. The dominoes didn’t stop falling until the market hit rock bottom.
What makes it worse is the psychological toll. Traders who had faith in the token’s potential now have portfolios in tatters. And let’s be real, $97 million in bull losses isn’t just bad luck—it’s a red flag.
That kind of damage can take months—or years—to recover from. If it ever does.
Is It a Dip or a Trap?
After such a sharp decline, some traders are eyeing the charts and asking the eternal question: “Is it time to buy the dip?”
History isn’t kind to dip buyers in these cases. Especially when the fall is triggered by what looks like an inside job. Yes, ZKJ might bounce back temporarily. That’s what Mantra did. But that rebound turned into a cruel trap for latecomers.
A few days of upside won’t fix the long-term damage. There’s no indication yet of an internal investigation, compensation, or even clear accountability. Without those, how can trust return?
Investors who got lured in after the Mantra crash saw another 74% drop. The same playbook might be unfolding for ZKJ.
What Happens Next?
There’s a strong chance ZKJ sees a relief rally. But let’s not sugarcoat it—it may just be a setup for another sell-off. The market is on edge, and once trust is broken, it’s hard to rebuild.
Unlike rug pulls from obscure projects, ZKJ had momentum. It was gaining traction. The crash wasn’t supposed to happen. And that’s what makes it worse.
Could regulators step in? Maybe. But so far, nothing concrete has come out of past blowups either.
What’s clear for now is that retail investors once again took the brunt of the impact while whales quietly cashed out. The same old story.
