TA: Solana Struggles To Break Key Resistance After $5M Hack

Solana (SOL) struggles to break key resistance after it suffers a huge loss on a hot wallet hack, losing over $5M creating so much panic in the heart of many faithful.  The price of SOL looked strong in the early part of the week, trading above $40, trying to break the resistance before having an attack on some wallets drained more than $8 million from Solana users.

Timeline of Solana

The Solana ecosystem is in the middle of a security emergency as over 7000 wallets were drained by and ongoing hack, and the figure seems to be rising. Cointelegraph reported on Tuesday that an ongoing widespread Solana wallet compromise was on display, with damage accounting for million dollars.

Following an intense 24-hour period, security researchers and Solana Labs engineers have linked the recent hack of specific Solana-based wallets to a critical bug in one wallet service provider. Slope Finance developers mistakenly shipped a code that allowed user-generated seedphrases to be transferred to a malicious actor in plain text.

Following the Solana wallet attack, the Solana Status team updated the public and detailed that the wallet addresses affected by the breach were tied to Slope mobile wallet applications. The team further stressed that “there is no evidence the Solana protocol or its cryptography was compromised.

Solana's price is in a bad shape after thousands of wallets were drained of their assets due to an exploit. Key Support levels: $35, $27 Key Resistance levels: $44, $59 Solana's headaches seem to have no end, from network halts to now an exploit that allowed hackers to drain funds using private keys.

Solana was the victim of a $6 million heist that cleared out over 8,000 wallets in the early hours of 3 August. The exploit happened the day after the cross-chain bridge, Nomad, was lost to another hack to the tune of $190 million.

Security researchers at Otter claim they have pinned down what may have caused the Solana wallet breach. The post Slope wallet provider saved user seed phrases in plain text, Solana security researchers find appeared first on The Block.

Pandemonium spread within the crypto community from the early hours of August 3 till the close of the day, due to the multimillion dollar hack that drained over $6 million from most Solana users' wallets. Solana was understandably blamed for the exploit, despite limited information on the nature of the mechanism employed.

Solana (SOL/USD) is enormously underrated as a cryptocurrency project, even with its hiccups – including the latest exploit on one of the ecosystem apps. That's what crypto billionaire Sam Bankman-Fried sums of the Layer1 blockchain platform in comments shared with Fortune in an interview.

A postmortem into the recent security exploits on the Solana ecosystem has highlighted Slope as the genesis of the breach, amplifying the calls for a transition to hardware wallets. The post Slope Wallet Blamed for Solana Mayhem – Here's How to Protect Yourself appeared first on BeInCrypto.

In an official statement, Slope confirmed that a "cohort" of wallets were compromised in the breach — and while it has some early theories concerning what happened, nothing's firm yet.