Polygon pushes towards two-month high as Poly hackers return $85M worth of MATIC

Polygon (MATIC) logo. Image from Logowik.com
Polygon (MATIC) logo. Image from Logowik.com

Key Takeaways:

  • Hackers stole over $600 million in digital coins from decentralized finance platform Poly Network.
  • However, the firm tweeted that hackers have returned $260 million of the stolen funds, including $1 million worth of MATIC.
  • The Polygon token is pushing towards its 2-month high, after charting 18% open to close gains on Wednesday.

NEW DELHI (CoinChapter.com) — In a surprising turn of events, hackers returned $342 million out of the $611 million worth of digital currency they stole from Poly Network.

Likely one of the biggest cryptocurrency thefts ever, the hack exploited a vulnerability between contract calls. As a result, hackers siphoned off Ether ($273 million), Binance Smart Chain ($253 million), and Polygon’s MATIC ($85 million).

As of August 12 (08:18:29 AM +UTC), the hackers returned BSC and MATIC completely, with $268 million remaining on Ethereum. MATIC prices rallied upwards as hackers started returning their loot.

Lost And… Found?

The cybercriminals, which the Poly Network suspects might be whitehat hackers, began returning some of the funds they stole. After disclosing the attack on August 10, Poly Network requested the hackers to return the stolen cryptocurrencies.

Also Read: Crypto market maintains strong footing as US inflation rises another 0.5% in July.

The company, which facilitates token swap across different blockchains, threatened legal action against the hackers.

A person who claimed responsibility for the hack said they did it for fun and wanted to expose the network’s vulnerability. On Wednesday, the hackers returned some of the stolen funds with a message encrypted in the transaction, saying they are “ready to return” the funds.

The DeFi platform requested the hackers to send the money to three crypto addresses, after which the criminals started returning the stolen crypto in parts.

At this point, it is unclear what motivated the hackers to return the stolen money. However, co-founder of Elliptic, Tom Robinson, believes that the difficulties of laundering stolen crypto may be behind the hacker’s change of heart.

Crimes related to the DeFi network have hit an all-time high, with the Poly Network being the latest and biggest in the series. As such, the thefts may attract the attention of regulators.

MATIC Price Moves Up

MATIC prices jumped up on Wednesday, thanks to Polygon’s venture into blockchain gaming and news of hackers returning the stolen goods. However, prices started correcting on August 12 as MATIC moved towards support at $1.24.

Polygon, Polygon pushes towards two-month high as Poly hackers return $85M worth of MATIC
MATIC prices are moving upwards on the daily chart. Source: MATICUSD on Tradingview.com

Moreover, a further pullback may see MATIC testing support at 20-Day (Yellow) Exponential Moving Average at $1.111. The next support level for the Polygon token is at $0.957.

Also Read: Dogecoin bulls request AMC chief to accept Doge payments; price rises.

Additionally, MATIC prices are trading above the 50-Day (Green) and 200-Day (Violet) MA lines, which indicates the trend is bullish in the short and long-term ranges. In case of a bullish rally, the Polygon token will find resistance at $1.498.

An extended crypto rally will see the resistances at $1.667 and $1.786 come into play.

Polygon, Polygon pushes towards two-month high as Poly hackers return $85M worth of MATIC
Polygon’s momentum oscillators. RSI has turned back from the overbought levels. Source: MATICUSD on Tradingview.com

The relative strength index for MATIC is neutral at 62.10. Moreover, the RSI trendline pulled back from the overbought region, which calmed the fears of a trend-reversal.

MACD, a trend-based momentum oscillator, is also bullish for MATIC. The Polygon token is charting positive bars of increasing magnitude on the MACD histogram. The histogram plots the distance between the MACD line (difference between 12-Day and 26-Day EMA) and the MACD signal line (9-Day EMA of MACD). Positive bars on the histogram indicate bullish momentum.

At the time of writing, MATIC was trading at $1.283, down 6.46% on the day.

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