We previously explained the expected scenario when a hacking event occurs, and it unfolded just as anticipated. We had reported the development triggering a price decline as breaking news, and now, we’re delivering the exciting news of the rise’s catalyst.
GMX Coin Surge
In its early days, the GMX platform made a significant impact on the cryptocurrency markets due to its scarce alternatives. The excitement observed today for HYPE Coin was even greater for GMX. On July 9, we announced a hacking incident which, as expected, led to a more than 25% decline in price.
However, we mentioned that the drop could quickly reverse due to a “compensation program” or “recovery of funds.” During the decline, we highlighted a short-selling opportunity down to $9.5, which could reverse with an announcement and possibly retest $13.5.
Investors not persisting with short sales capitalized on the opportunity, taking long positions after today’s announcement, resulting in profits. The GMX Coin team recently shared exciting news, leading to a price increase of over 15%. The $15 to $18 range could be tested again if the overall market sentiment remains optimistic.
“A security vulnerability was identified in the GMX V1 codebase. GMX V1 forks were also informed safely. During the recovery process, we wish to commend the actions of 0xDF3340A436c27655bA62F8281565C9925C3a5221.”
“A potential loss of $42 million for GLP holders has been prevented. After paying the user a $5 million reward, the remaining funds are securely stored in GMX Security Multisig.”
“Contributors are working on a distribution plan to present to GMX DAO and will share more information shortly.”
