Solana drops as historic Binance hack shakes crypto markets

Solana fell by 6.78% to $95.40 following a historic $6.3 billion cyber-attack on Binance. The exploit has triggered concerns regarding counterparty risk and generated persistent selling pressure across digital assets.

By Daniel Mejía

Binance suffered a $6.3 billion cyber-attack, inflicting widespread custody concerns across the cryptocurrency ecosystem.
Binance assured users that company funds would cover all client losses and targeted the resumption of withdrawal services within next hours.
Digital asset sell-offs reflect compounding risks from Federal Reserve hawkishness, geopolitical tensions, and ongoing custody vulnerabilities.
Investors could be shifting towards defensive assets to mitigate counterparty and liquidity risks.

Date: 31 October 2026 (GMT+3)

Is Solana under pressure following the Binance hack?

Solana’s price plunged by 6.78% to $95.40 after the cryptocurrency exchange Binance announced a multi-billion-dollar hack—an event that has exerted underlying selling pressure.

Binance, the world's largest cryptocurrency exchange, revealed that a security incident had compromised $6.3 billion in assets, as cited by CNBC.

However, following the cyber-attack, the exchange promised to cover all client losses using company funds and to restore full trading within a few days. Furthermore, the firm indicated that it was targeting the resumption of withdrawal services within approximately 34 hours, as quoted by Reuters.

Notably, the company emphasised that it is conducting a comprehensive investigation, though it acknowledged that progress has been complicated by the hackers' use of malicious software designed to erase traces of their activity. This underscores significant cybersecurity vulnerabilities as artificial intelligence tools grow increasingly sophisticated at exploiting flaws in internet systems.

Additionally, Binance announced that it will collaborate on an investigation with the FBI, the US Secret Service, and other prominent cryptocurrency industry participants to determine the scope of the breach and implement corrective measures, as reported by Reuters.

Against this backdrop, while crypto assets declined in tandem amid rising concerns over digital asset security and custody, overall market losses remained somewhat moderated.

Cryptocurrencies have experienced significant selling pressure driven by several compounding factors, including a more restrictive monetary policy stance from the Federal Reserve, Middle Eastern geopolitical tensions that have elevated energy prices, and recurring security breaches that highlight underlying vulnerabilities in digital asset custody.

In response, it is possible that global investors could seek defensive alternatives or financial assets traded on centralised exchanges to mitigate liquidity and counterparty risks. Consequently, the recent cyber-attack on Binance could prove particularly relevance for the crypto ecosystem, highlighting operational and security risks associated with safekeeping and control.

Technical analysis of Solana

From a technical perspective, Solana is experiencing significant short-term selling pressure. A detailed examination of the current market structure reveals the following key dynamics:

Trend Context: On daily timeframes, Solana continues to trade comfortably above its 200-day Simple Moving Average (SMA), suggesting that long-term bullish momentum remains intact. However, the cryptocurrency has encountered substantial short-term selling pressure, breaching both its 50-day and 100-day SMAs to the downside. Notably, price action is currently testing prominent structural support near $97.
Momentum Indicators: The Moving Average Convergence Divergence (MACD) is signalling a downward trajectory, suggesting that short-term bearish momentum may persist. However, the Relative Strength Index (RSI) is rebounding upwards after entering oversold territory, signalling a potential price recovery in the short-term.
Resistance Levels: Should the price hold and rebound from the $97 structural support, the next major technical barrier lies at $109, followed by a secondary technical ceiling at $124, where the Volume Profile’s Value Area High (VAH) converges.
Support Levels: If the $97 structural support is breached to the downside, the next prominent technical floor sits at $88.50—a key support zone where the 200-day SMA converges with the Volume Profile’s Point of Control (POC). Should this level fail to hold, the next technical barrier is the psychological threshold of $80.00.