During a significant drop in Ethereum's price on August 30, 2024, hackers used the opportunity to buy ETH using stolen cryptocurrencies. The price of ETH fell by over 20%, presenting a lucrative buying opportunity.
Details of the Hacks:
Pancake Bunny Hack: In 2021, the DeFi protocol Pancake Bunny was exploited in a flash loan attack, leading to a loss of $46 million. Recently, the hackers who conducted the attack resurfaced. They used 7.8 million DAI (a type of stablecoin) to purchase 2,922 ETH. This transaction occurred as Ethereum's price dropped, allowing the hackers to buy more at a lower price. Previously, the hackers had moved some of the stolen ETH to Tornado Cash, a service that helps anonymize transactions, making it harder to trace the funds.
Nomad Bridge Hack: Another group of hackers responsible for the $200 million Nomad Bridge hack also bought ETH during the price drop. They spent 39.75 million DAI to acquire 16,892 ETH. After purchasing the ETH, they transferred the funds through Tornado Cash, further obscuring the trail. Over time, the hackers have moved large amounts of stolen funds, laundering millions via various transactions.
Market Impact:
These events occurred as Ethereum faced its largest price drop of 2024, with over $1 billion in crypto liquidations recorded within 24 hours. Analysts predict that ETH could see further declines as it has lost critical support levels.
