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ZKJ token offered by Polyhedra Network suffered a steep price crash that saw over 83 percent of its value shed within hours on June 15, 2025. According to CoinMarketCap ZKJ touched a low of $0.3073, in comparison to the previous day's high of about $1.98.
This rapid decline wiped out more than $500 million in market capitalization, leaving ZKJ with a new all-time low. Market data shows that after a partial recovery, the token traded at $0.3258 by early June 16. The plunge also affected the KOGE token, which dropped more than 54% over the same period.
The official announcement of Polyhedra states that the price decrease came after the wave of abnormal on-chain transactions associated with the trading pair ZKJ/KOGE. The task force pointed out that these events started forthwith and prompted a liquidity crisis. As the on-chain data shows, some whales have pulled out liquidity from the pool. This pushed the market into a sharp sell-off, resulting in price slipage across the trading pair and triggering successive liquidations.
Lookonchain, an on-chain analytics company, noted that six whales had been leading the crash. These huge stakers removed the liquidity between the ZKJ and KOGE pools, swapped KOGE to ZKJ, and dumped their tokens.
This action triggered a liquidity crunch, increasing the market swings. Leading crypto exchange Binance confirmed this. The company explained the crash in ZKJ as major holders pulling liquidity, which resulted in a liquidity cascade in the marketplace.
Liquidation statistics from CoinGlass show that $97.72 million in long positions and $4.61 million in shorts were liquidated during the episode. Six individual traders reportedly lost at least $1 million each, while the total loss in liquidations approached $102 million. The simultaneous drop in KOGE’s price further complicated efforts to stabilize the pools.
Many in the crypto community speculated that the upcoming ZKJ token unlock, set for June 19 and totaling 15.5 million tokens, could put even more pressure on prices.
The ZKJ crash prompted Binance to act quickly. In an announcement, Binance said that, beginning June 17, 2025, trading volumes between Alpha tokens, including ZKJ and KOGE, would no longer count toward its Alpha Points rewards system. Binance explained that this change is meant to improve market fairness and reduce the risk of liquidity concentration in its ecosystem.
The exchange clarified that these measures aim to protect market stability following the turmoil caused by abnormal trading activities. With ZKJ still struggling near record lows and another token unlock on the horizon, the crypto community remains on alert for further volatility.
