How will the Binance hack impact the market outlook? Many insiders view this as a bear market bottom signal, making it difficult for short-term selling pressure on Bitcoin to form.

BlockBeats news, October 30th, following today's security incident at Binance, prominent figures and traders in the industry have made judgments on the market's future direction, mostly viewing this as a bear market bottom signal and believing it will be difficult for hackers to cash out Bitcoin, creating challenges for short-term selling pressure on BTC. Among them:

Renowned trader DonAlt stated that at the time of the incident, a market drop of around 30% was expected, but it only fell about 3%. If prices do not significantly decline by next Monday, the bottom of this bear market may have already formed. A period of hellish volatility will follow to digest the theft incident.

Benson Sun, founder of Coinkarma, stated that Bitcoin lacks a deep mixing pool similar to Tornado Cash, and related addresses will be flagged by trading platforms and on-chain analysis firms, making it far more difficult to cash out than ETH, with short-term selling pressure nearly zero. If Binance uses SAFU compensation and replenishes Bitcoin, it could instead create buying pressure. Market confidence will be impacted, but the direct selling pressure on Bitcoin is not as large as imagined.

Trader Cryptobull believes that the BTC bottom is very close or has already formed, and this hacking incident may be the event that marks the bottom. Reasons include: leverage has been significantly washed out (nearly $600 million in liquidations within 1 hour, 97% long positions), some funds have been frozen, and the daily structure still maintains higher lows. Compared to the 2019 Binance hot wallet theft incident, BTC only fell about 4% at that time, then surged 138% within 7 weeks.

Yi Lihua, founder of Liquid Capital, stated that the strong support level of $79,000 being broken by a black swan event was not part of the plan. After the impact of the black swan and the end of the midterm elections, the best time to bottom-fish will arrive.

Bonk Guy stated that after the Binance hacking incident, he does not believe the danger has passed. Previously, after major CEX thefts, Bitcoin continued to plummet 21% within a week, reminiscent of the 10.11 event, when everyone thought the bottom would arrive immediately after such a massive washout, but instead experienced one of the industry's worst crypto winters. Users are still advised to bottom-fish cautiously and guard against a second decline.

Jeff Ko, Chief Analyst at ViaBTC, stated that market selling pressure is limited, and he does not believe the stolen BTC will bring significant selling pressure. Bitcoin addresses cannot be frozen, but every coin is traceable, and there is no deep, liquid mixing tool like Tornado Cash. In reality, this batch of BTC is likely to be locked up and may take years to enter the market. Binance has the ability to comfortably absorb this loss.

Renowned trader Killa stated that this Binance hack incident is likely to be the last significant low before a major rally in crypto. He still holds a long position in BTC opened at $76,400 and does not believe Bitcoin will drop 20%.

Jiang Zhuoer believes that the current BTC drop to around $76,600 could be a short-term bottom, similar to the approximately 4.5% decline triggered by the previous Bybit theft, with this time's maximum drop at about 4.6%, and he has already completed bottom-fishing in batches.

Renowned crypto investor VirtualBacon stated that today's decline triggered by the security incident is a shakeout rather than a trend reversal. Bitcoin could briefly break below the bottom of the bull market support band at $76,000, washing out panicked sellers, and then strengthen again on the weekly chart. He remains bullish on the market outlook. Unless the weekly close falls below $75,000, a rebound is imminent."

Rick Maeda, head of Laevitas Markets, said the current market reaction is "relatively contained." For what could be the largest exchange theft in history, BNB's decline is "quite moderate."