The recent actions of hackers who targeted WazirX, Penpiexyz, and Fenbushi have attracted widespread attention, especially as they started moving millions in stolen assets during a bearish market situation.
On September 6, 2024, data from Lookonchain, an on-chain analytics firm, exposed that these criminals shifted a substantial 17,800 ETH valued at $42.7 million into Tornado Cash within the past three days.
WazirX Hacker Transfers Millions in ETH
Concerns linger among investors and institutions regarding the recovery of the stolen funds. Following WazirX’s digital townhall meeting on September 2, 2024, where they discussed plans to reclaim the pilfered assets, the WazirX hacker moved 7,200 ETH worth $17.3 million into Tornado Cash. It appears unlikely that they have intentions of returning the significant $235 million worth of cryptocurrency.
Meanwhile, the Penpiexyz hackers, who looted $27 million in assets, also funneled 9,600 ETH worth $23 million into Tornado Cash.
In the current delicate market climate, these substantial fund movements could induce panic and exacerbate selling pressure.
Ethereum Technical Evaluation and Critical Levels
Observing the daily charts, Ethereum’s price action displayed a bearish trend. Following the breakdown of the rising wedge pattern on a daily basis, a period of consolidation ensued for a week.
Currently, Ethereum is breaking out of the consolidation zone while closing a daily candle below it.
Based on historical price trends, there is a likelihood that Ethereum might decline to the $2,200 level or even lower.
On the other hand, the Relative Strength Index (RSI) indicates an oversold condition, suggesting a potential price reversal. Nonetheless, given the prevailing market circumstances and whale activity, such a reversal might be improbable.
Ethereum Price Trends
At the time of reporting, Ethereum was trading around $2,374, marking a 1% decline in the past 24 hours, as per CoinMarketCap data. Simultaneously, trading volume also decreased by 6% during the same period, signaling reduced engagement from traders amid the market downturn.
Conversely, Open Interest for Ethereum saw a 1.2% increase in the past day, indicating a rise in Ethereum Futures contracts amid the price decrease.