Ethereum’s Plunge: A Hack-Related Fizzle or Fortitude?

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  • Oh, dear! An Oxinfini rogue acquires a trove of ETH worth a modest fortune.
  • Yet, Ethereum‘s optimists stand firm amidst a trifling 3.49% downturn.

In the past week, the tale of Ethereum [ETH] has been one of rather dramatic proportions. Following the Bybit breach, which sent ripples through the investor pond, the ETH supply soon found its equilibrium once more.

Alas, as one would expect in such times of tumult, another incident of digital thievery has come to light.

A Hacker’s Shopping Spree of 17,696 ETH

In the blink of an eye, Ethereum faced another test of fortitude. A new account was spawned, and with a flourish, a cool 49.5 million DAI was lavished upon 17,696 ETH tokens.

At first glance, Lookonchain deemed this a grand display of a whale’s hoarding habits. But, lo and behold, it was but a hacker’s plunder.

According to Lookonchain, the poor Stablecoin bank Oxinfini was ransacked, with 49.5 million USDC vanishing into the digital ether. The pilferer then cunningly swapped these coins for DAI of equal measure.

This scoundrel then promptly used the stablecoins to amass a collection of ETH. Post-purchase, these tokens were whisked away to the aforementioned account, which had previously been mistaken for a mere whale’s haven.

Truly, such a transgression is a spot of bother not only for the beleaguered Oxinfini but also for ETH, whose name now dances with that of mischievous hackers.

A sullied reputation might well tarnish the hearts of Ethereum’s investors, spelling doom for its graphical tales of price.

Ethereum’s Resilience Amidst the Tumult

As the fates would have it, this news did send Ethereum’s price into a modest swoon. As of this quill’s dip in ink, the cryptocurrency was seen trading at $2705, marking a 3.49% descent on the daily charts.

And, as if in a well-choreographed dance, ETH dipped on both weekly and monthly charts—a modest 2.89% and a rather more pronounced 18.8%, respectively.

But fear not! Despite the undulating waves of the price charts, Ethereum’s investors hold their chins up high. They continue to scoop up ETH with a verve most commendable.

This is quite evident from the sudden leap in the Buyer Taker Sell ratio, which bounded from a lowly 0.9 to a sprightly 1.085. When the buyer index surmounts the number 1, it signals a rather keen interest in purchasing over parting with one’s ETH.

Thus, Ethereum finds itself in the rather enviable position of being pursued with fervent intent.

Moreover, American investors, institutions included, seem to be on a mission to hoard ETH with the same enthusiasm as one might collect a fine assortment of porcelain.

This voracious buying is confirmed by the Coinbase premium index, which, like a phoenix from the ashes, has soared back into positive territory after a brief sojourn in the doldrums.

A positive Coinbase premium index is a sure sign that American investors are on a buying spree, and woe betide any who stand in their way.

And so, this relentless buying has led to a delightful scarcity of Ethereum in the market. The stock-to-flow ratio has shot up over the past week to a dizzying 99.13.

When the SFR ascends, it whispers of a reduced supply relative to demand. An increase in scarcity, when met with a constant or ascending demand, is a recipe for

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2025-02-24 16:00