The aftermath of the $1.5 billion Bybit hack has rippled across the Ethereum market, prompting a sharp price drop and a surge in trade volumes.
Confirmation of Bybit Hack and Market Reaction
Bybit CEO Ben Zhou confirmed the hack, wherein attackers exploited a multisig cold wallet with a deceptive interface, stealing ETH and stETH. Over 400,000 ETH have been moved, with $200 million stETH already sold.
Impact on Ethereum Price and Trade Volumes
As per CoinMarketCap data, Ethereum's price dropped from $2,850 to $2,750 within an hour following Bybit's reports. This was accompanied by a 60% spike in 24-hour trading volumes, reaching $24.73 billion, as investors quickly reacted to the development.
Consequences and Trader Reactions
Traders remain on edge as they await Bybit's further actions and potential new liquidations. The movement of stolen funds to new addresses and their sale on decentralized exchanges intensifies market sell-offs.
The Bybit incident raises concerns among investors, impacting the ongoing volatility of Ethereum and the potential implications for the broader crypto market.
