XRP Displays Highly Negative Sentiment After Failed Hack Attempt

Recent data reveals that XRP has experienced one of its most terrible days since its launch. This event was caused by a foiled hack attempt involving a $15 billion transaction.

Popular analytical platform Santiment captured the details of this event and its possible impact on XRP's price outlook.

Santiment Unveils XRP Hack Incident

Following an attempted (but failed) @bitfinex hack using a Partial Payments Exploit", there is high negative sentiment toward $XRP. The #altcoin's price performance has been middling in 2024. Along with a low #RSI, there is upside while #FUD is high. https://t.co/QOPIKzD7sC pic.twitter.com/M6u59SUVlN

- Santiment (@santimentfeed) January 15, 2024

Crypto Intelligence and analytics platform Santiment shared an update on the failed hack attempt. This hack involved an attempt to steal 24 billion XRP.

The hacker attempted to make a 25 billion XRP payment to the crypto exchange Bitfinex. However, the transaction failed as no significant XRP tokens were moved.

However, Santiment reported that a noticeable surge in negative sentiment from investors towards XRP followed the event.Santiment noted that traders experienced fear due to the large amount of money mentioned in the attempted exploit.

These concerns arise from the fact that such a massive sale could cause inflation and crash the market value of XRP.

Further, blockchain tracker Whale Alert wrongly reported that the transaction was successful, confusing the investors and causing more panic in the community.

Fortunately, the Whale Alert issued a public statement claiming that there was an issue in adequately reading the Ripple node response, leading to wrong posts.

Bitfinex CTO Confirms Hack Attempt, Clears Doubts

Apart from Whale Alert's clarification, Bitfinex CTO Paolo Ardoino shed more light on the incident and the hacker's aim.According to Ardoino, the attacker attempted to hack Bitfinex using a partial payment exploit.

Normally, XRP Ledger enables network participants to make partial payments where the sender can send less than the stated amount.

So, the exploiter hoped that the receiving system would focus on the amount rather than the delivered amount.However, Ardoino confirmed that the attack failed since Bitfinex focuses on the delivered amount data field.

Someone attempted to attack @bitfinex via "Partial Payments Exploit".
Attack failed since Bitfinex properly handles 'delivered_amount' data field.https://t.co/EiGw9UQmmq

(updated with better gif) https://t.co/8I7vlO05ou pic.twitter.com/DxOnJLLkhU

- Paolo Ardoino (@paoloardoino) January 14, 2024

Meanwhile, another address attempted to hack Bitfinex using this method. This address attempted multiple 50 billion and 14 billion Ripple transactions on January 14. Crypto investor The Wolf Of All Streets spotted the attempted XRP hack on January 14, noting that the transaction cannot be accurate.

He stated that XRP's circulating supply is roughly $54 billion, and the transaction is almost half of the supply.Despite the adverse events, the market intelligence platform Santiment claims that the potential for an uptrend for XRP is still high.

The analysts believe that although XRP's price performance in 2024 has been in the mid-range, and FUD is high, it shows potential to rally. Also, its low RSI value on the price chart hints at a possible recovery for XRP.

Source:app.santiment.net

Nevertheless, the hack attempt scared some investors, leading to a price decline for XRP today. As of 9:20 EST, XRP price stands at $0.5742, representing a decline of 0.39% in 24 hours.

The post XRP Displays Highly Negative Sentiment After Failed Hack Attempt appeared first on The Tech Report.