Not necessarily, the majority of Bitcoin trades, which are it's entire source of value, are never even executed in the block chain at all. Neither the block chain nor the exchanges could actually handle the volume of a significant percent of holders withdrawing in a short duration. Now I don't know what that percent is but it's likely significantly less than 20%.

As long as there's unaudited exchanges minting so called stable coins at will. The entire crypto sphere is valuated fully devoid from any actual underlying fundamental. Cracking a wallet could be the catalyst for its undoing but it could also be something else or nothing at all.