Shibarium Hack Results in $2.4M Loss, Memecoins Under Pressure

Meme tokens experienced pressure following a $2.4 million hack of Shiba Inu's layer-2 network, Shibarium, affecting investor confidence in joke cryptocurrencies.

• Shibarium suffered a flash loan attack, losing about 2.4 million in ether and SHIB.
• The attacker used 4.6 million BONE tokens to control validator keys, enabling unauthorized transactions.
• The attack highlighted persistent security issues in blockchain technology.

The CoinDesk Memecoin Index dropped 6.6%, while the broader market index fell 2.3%.

Market Reaction

• SHIB decreased by 4% to $0.00001369, continuing to weaken.
• Trading volume surpassed the 24-hour mean, indicating strong selling pressure.
• BONE token, initially rising, fell over 2% on a 24-hour basis to around 20 cents.

Additional Market Impact

• DOGE fell 4% to 27.80 cents, with further losses to 27.36 cents.
• A large DOGE transfer to OKX exchange, worth over $34 million, contributed to bearish sentiment.