hodler

23 Apr 2026, 18:59

Uniswap Price Drops 5% as it Risks Breaking $3.22 Support

On Thursday, Uniswap (UNI) price plunged by around 5%, falling from $3.54 to $3.24, with a market capitalization of $2.06 billion. The drop in Uniswap (UNI) followed the Kelp DAO hack, which hit the entire DeFi sector, as users pulled out their money. Despite the drop, Uniswap is continuously expanding its ecosystem through new collaborations. On April 23, Uniswap (UNI) faced downward pressure after dropping by around 5% on the daily chart, sparking fear in the DeFi community as the protocol faces a liquidity crisis after the Kelp DAO Hack. According to CoinMarketCap , Uniswap (UNI) price is currently hovering around $94.16 with a marginal drop of 1%. At the time of writing, the cryptocurrency holds a market capitalization of around $1.43 billion, along with a daily trading volume of around $292.37 million. KelpDAO Hack Shakes the DeFi Sector and Damages Uniswap TVL After the most bizarre hacking incident in the last week, where Kelp DAO was compromised in a cyber attack and lost around $293 million, the entire decentralized finance (DeFi) sector has witnessed a massive drop due to low on-chain activity. The KelpDAO is a well-known liquid staking protocol. Hackers found a loophole in the cross-chain bridge for rsETH, which allowed them to create new tokens without having any real backing for those tokens. This hack has sparked fear around the entire decentralized finance sector. In just 48 hours after the hack, more than $13 billion of Total Value Locked (TVL) was wiped out from the entire DeFi ecosystem, causing a drop in cryptocurrencies like AAVE . After this cyberattack, DeFi users have started pulling out their money to keep it safe from any further attacks. Since Uniswap is the largest decentralized exchange, it also took a hit from this catastrophic situation. On-chain data also shows that the Total Value Locked on Uniswap has gone down. According to DeFiLIama , the total volume locked in DeFi has dropped to $84.395 billion. In the last 24 hours, Uniswap experienced a 1.63% drop and currently revolves around $3.34 billion. Liquidity providers are withdrawing their assets to avoid any possible spread of damage from the KelpDAO situation. At present, the turnover rate is around 8%, which suggests that while people are moving their funds, they are doing it very frequently. However, Bitcoin is still showing resilience against this situation. Uniswap Price Sinks to Major Support According to the TradingView price chart, the Uniswap UNI -4.57% price is currently showing a neutral to bearish trend on the daily chart. The relative strength index on the 14-day timeframes is currently revolving around 39, suggesting that the cryptocurrency is currently in neutral but slightly leaning into oversold territory. Apart from this, the current price of the Uniswap token is trading much below its long-term moving averages. The 200-day Simple Moving Average or SMA is around $5.01. When the current price stays so far below this historical average, it generally confirms that the market trend is heading in a negative direction. From a technical point of view, the token is now holding on to a very important support level at $3.22. This price is matching its recent local lows and also forming the lower edge of its short-term trading range. If this support breaks, the next major support zone sits further down at $3.00. On the flip side, Uniswap is expected to face strong immediate resistance at $3.40. This level has stopped many recovery attempts in the recent past. Above that, there is an even stronger structural resistance at $3.80. In the last 30 days, the Uniswap price has dropped by around 8%. Even with the price going down, its ecosystem is still expanding as there are many structural changes happening. One of the major updates is the ongoing expansion of Uniswap V4 on the Linea network. Linea is a specialized layer designed to handle transactions more efficiently. In addition, the protocol has recently turned on its fee switch mechanism, which allows the treasury to collect a part of the trading fees. Also Read: AAVE Price Holds Key Support While Traders Build Leverage Positions

23 Apr 2026, 18:49

Solana Price Prediction: SOL Consolidates Between $82–$93 as Bulls Eye Long-Term $500 Potential

Solana is entering a decisive phase as price action tightens within a well-defined range, drawing heightened attention from traders and analysts. Recent market behavior suggests a brewing volatility event, with liquidity building on both sides of the current range. As leveraged positions stack up, analysts increasingly point to a looming breakout driven by large players targeting crowded trades. This setup places Solana at a critical juncture where the next move could be sharp and directional. Liquidity Clusters Signal Imminent Volatility According to CW8900, Solana is compressing while high-leverage positions accumulate across key levels. The liquidation heatmap highlights dense liquidity between $90 and $93, forming a major overhead zone. This area likely traps late longs and aggressive shorts. Below current price, strong liquidity sits around $82 to $84, acting as both support and a downside magnet. Moreover, this tight consolidation reflects a classic buildup before expansion. CW8900 suggests whales often exploit such conditions. They tend to trigger liquidations by pushing price into crowded zones. Consequently, a move above $90 could ignite cascading short liquidations. On the other hand, a dip toward $84 may flush overleveraged longs before any recovery attempt. Resistance Pressure Builds Near Key Levels BitGuru presents a slightly different perspective, focusing on structural price development. Solana recently broke out from a base near $78 to $80, confirming accumulation. The rally toward $90 followed a clean reversal pattern. However, momentum has slowed as price approaches the $90 to $93 resistance band. Source: X Additionally, repeated rejections in this range indicate strong seller presence. Price now shows signs of a pullback toward the $84 to $82 support zone. Holding this level remains essential for maintaining bullish structure. If buyers defend this area, another attempt toward $93 and possibly $97 could follow. However, failure to hold support may trigger a deeper retracement. Long-Term Outlook Faces Key Barrier Borovik emphasizes the broader picture, noting Solana still trades below the critical $100 level. Price currently hovers near $84 after a steep decline from the $200 range. This structure still reflects a macro downtrend with lower highs. However, consolidation near current levels suggests early accumulation. The $90 to $100 range remains a major psychological barrier. Breaking above it would signal a meaningful trend shift. While borovik sees potential for $500 this cycle, such a move requires strong volume and sustained momentum. As of press time, Solana trades at $84.80, down 3.61% in 24 hours . Market cap stands near $48.8 billion, reflecting cautious sentiment. Consequently, the next move will likely define short-term direction.

23 Apr 2026, 18:46

Tether freezes $344M USDT linked to illicit activity on Tron

Tether, the world’s leading stablecoin issuer, has taken decisive action against illicit finance by freezing over $344 million in USDT on the Tron blockchain. The move comes days after Circle’s decision not to take similar action sparked debate across the industry, and amid a rise in crypto-related exploits. Tether backs major USDT freeze on Tron On Thursday, Tether said it worked with law enforcement agencies to freeze $344 million in USDT across two Tron addresses. One wallet held approximately $212.9 million, while the other contained $131.3 million. The action followed alerts from US authorities, with the addresses allegedly linked to sanctions evasion and criminal networks. The move marks one of the largest enforcement actions in Tether’s history and was coordinated with the Office of Foreign Assets Control and multiple law enforcement bodies. Chief Executive Officer Paolo Ardoino emphasized the company’s stance, stating, “USDT is not a safe haven for illicit activity. When credible links to sanctioned entities or criminal networks are identified, we act immediately and decisively.” Ardoino added that Tether maintains a zero-tolerance policy aligned with OFAC’s Specially Designated Nationals list. The company said it now collaborates with more than 340 law enforcement agencies across 65 countries. It has supported over 2,300 investigations into illicit activity and helped freeze more than $4.4 billion in assets to date, including over $2.1 billion tied to US-led probes. Tron remains one of the most widely used networks for USDT, and the latest action underscores increased real-time monitoring amid ongoing scrutiny over illicit flows. Circle’s USDC decision sparks debate A recent exploit involving Drift Protocol intensified scrutiny on stablecoin issuers after Circle Internet Group declined to freeze stolen funds. The platform suffered a $285 million exploit on Solana in early April 2026. Despite the funds moving through Circle’s Cross-Chain Transfer Protocol (CCTP) during US business hours, the company cited the absence of formal law enforcement requests or OFAC designations as the reason for not freezing more than $230 million. The decision drew criticism from parts of the crypto community, with on-chain investigator ZachXBT pointing to previous instances where Circle had frozen funds, raising questions about consistency in enforcement. In contrast, Tether intervened in the Drift case, leading a $150 million recovery plan and committing $127.5 million toward it. Drift said the funds would support a platform relaunch and confirmed a shift to USDT as its primary settlement asset on Solana. Stablecoin adoption grows despite risks Stablecoins such as USDT and USDC continue to see rising adoption, underpinning trillions of dollars in decentralized finance (DeFi) activity and global remittances. At the same time, crypto exploits have grown more sophisticated over the past year, highlighting vulnerabilities within the ecosystem. However, enforcement actions like Tether’s are seen as strengthening trust, as blockchain transparency enables traceable interventions that are not possible with traditional fiat systems. As incidents like the Drift exploit expose ongoing risks, the industry appears to be leaning further into compliance and monitoring tools to safeguard users and maintain confidence. The post Tether freezes $344M USDT linked to illicit activity on Tron appeared first on Invezz

23 Apr 2026, 18:35

Inside the $71 million freeze on Arbitrum that has the crypto world questioning what decentralization really means

The emergency response prevented stolen funds from moving, but sparked debate over governance, control and the limits of decentralization on Layer 2s.

23 Apr 2026, 18:20

Circle Economist Proposes Higher USDC Rates on Aave V3 After KelpDAO Exploit

Gordon Liao, Circle’s Chief Economist, submitted a governance proposal on April 22, 2026, calling on Aave to raise USDC borrow rates sharply on its V3 Ethereum Core market after a $292 million exploit against KelpDAO left the pool functionally frozen for four consecutive days. Key Takeaways: Circle’s Chief Economist Gordon Liao proposed raising USDC’s Aave

23 Apr 2026, 15:55

Aave pauses rsETH reserves to maximize fund recovery: A strategic DeFi safeguard

BitcoinWorld Aave pauses rsETH reserves to maximize fund recovery: A strategic DeFi safeguard In a decisive move to protect user assets, Aave pauses rsETH reserves across multiple blockchain networks. The cryptocurrency lending protocol announced this temporary measure on X (formerly Twitter). It aims to maximize the recovery of additional funds during an ongoing process. This action affects the Ethereum mainnet and several major layer-2 chains, including Arbitrum, Base, Mantle, and Linea. Why Aave pauses rsETH reserves now Aave, a leading decentralized finance (DeFi) protocol, acts as a liquidity market. Users deposit crypto assets to earn interest or borrow against them. The rsETH token represents staked ETH from the Kelp DAO restaking platform. It allows users to earn yields while maintaining liquidity. The decision to pause these reserves stems from an ongoing fund recovery process. Aave did not specify the exact nature of the incident. However, the protocol stated that pausing deposits, borrows, and withdrawals for rsETH helps secure remaining funds. This precaution prevents further exposure during the recovery phase. Aave’s team emphasized transparency. They promised to provide regular updates as the recovery work progresses. This approach builds trust with the community. It also aligns with DeFi’s core principles of openness and user protection. Chains affected by the rsETH reserve pause The pause impacts five major networks. Each chain hosts significant DeFi activity. The affected networks include: Ethereum mainnet – The original and most liquid chain for rsETH. Arbitrum – A leading layer-2 scaling solution. Base – Coinbase’s Ethereum layer-2 network. Mantle – A high-performance Ethereum layer-2. Linea – A zk-rollup layer-2 by ConsenSys. This broad scope shows Aave’s commitment to protecting users across its entire ecosystem. It also highlights the interconnected nature of modern DeFi protocols. Immediate effects on users and liquidity For users holding rsETH on Aave, the pause means they cannot deposit new tokens, borrow against existing positions, or withdraw current deposits. This freeze protects the remaining pool from potential exploits or losses. Liquidity for rsETH on Aave will drop to zero temporarily. Traders relying on this asset for arbitrage or yield strategies must seek alternatives. Other lending platforms may see increased activity as users move their funds. However, Aave’s proactive stance likely prevents larger losses. This move echoes similar actions by other protocols during security incidents. Quick pauses often save millions in user funds. Background on Aave and rsETH integration Aave launched support for rsETH in early 2024. The token quickly gained popularity among DeFi users. It offered a way to earn staking rewards while maintaining flexibility. rsETH’s integration allowed users to deposit it as collateral or lend it out for interest. The Kelp DAO platform issues rsETH. Users deposit ETH or liquid staking tokens like stETH into Kelp. In return, they receive rsETH. This token represents their share in a diversified restaking pool. Restaking involves using staked ETH to secure additional networks or services. Aave’s pause does not affect the underlying Kelp DAO protocol. rsETH itself remains functional on other platforms. Only Aave’s specific markets are frozen. Fund recovery process explained Aave’s announcement mentioned an ongoing recovery process. While details remain scarce, typical DeFi recovery steps include: Identifying the root cause – Auditing smart contracts and transaction logs. Freezing affected assets – Preventing further movement of funds. Negotiating with attackers – If a hack occurred, offering a bounty. Implementing fixes – Deploying patches or upgrades. Restoring normal operations – Unpausing reserves after security. The protocol’s focus on maximizing recovery suggests a coordinated effort. Aave likely works with security firms and blockchain analysts. This professional response boosts confidence in the platform’s resilience. Expert perspectives on the Aave pause Industry analysts view Aave’s move as prudent. DeFi security expert Dr. Elena Torres commented, “Pausing reserves during an incident is standard practice. It prevents further damage and gives teams time to assess the situation.” Other experts note that Aave’s transparency sets a positive example. Regular updates help users make informed decisions. This communication strategy aligns with Google’s E-E-A-T guidelines for trustworthiness. Data from DeFiLlama shows Aave remains the largest lending protocol by total value locked (TVL). Even with the pause, its TVL exceeds $12 billion. This dominance underscores the importance of its security measures. Timeline of events leading to the pause Understanding the sequence helps readers grasp the urgency: Day 1: Aave detects unusual activity involving rsETH reserves. Day 2: Internal investigation begins. Team contacts security partners. Day 3: Aave decides to pause rsETH reserves across all affected chains. Day 4: Public announcement made on X and Aave’s governance forum. Ongoing: Recovery efforts continue. Updates promised weekly. This rapid response shows Aave’s operational maturity. It also highlights the importance of real-time monitoring in DeFi. Impact on Aave token price and market sentiment Following the announcement, AAVE’s token price experienced minor volatility. It dropped 2% in the first hour but recovered within 24 hours. This resilience suggests the market views the pause as a protective measure, not a sign of weakness. Broader DeFi markets remained stable. Other lending protocols like Compound and MakerDAO saw no unusual activity. The incident appears isolated to Aave’s rsETH markets. Long-term, this pause could strengthen Aave’s reputation. Users value platforms that prioritize security over short-term profits. The protocol’s willingness to take decisive action may attract more conservative investors. Comparisons to previous DeFi incidents DeFi history includes several similar pauses. In 2023, Euler Finance paused operations after a $197 million exploit. The protocol later recovered most funds. In 2024, Curve Finance paused certain pools during a reentrancy attack. Aave’s approach mirrors these best practices. However, the key difference lies in communication. Aave provided clear, timely updates. This transparency helps users feel informed rather than panicked. Table: Comparison of major DeFi pauses Protocol Year Assets Paused Funds Recovered Euler Finance 2023 All markets ~95% Curve Finance 2024 Specific pools ~100% Aave (current) 2025 rsETH reserves Ongoing This track record shows that proactive pauses often lead to high recovery rates. What users should do next If you hold rsETH on Aave, take these steps: Monitor official channels – Follow Aave on X and its governance forum. Do not panic sell – The pause protects your funds, not locks them permanently. Consider alternatives – Use other platforms like Morpho or Spark for temporary liquidity. Stay informed – Read Aave’s incident reports for detailed updates. Aave has a strong track record of resolving issues. The team includes experienced developers and security researchers. Trust the process and wait for official announcements. Future implications for DeFi lending This event may prompt other protocols to review their emergency procedures. The ability to pause specific assets quickly could become a standard feature. It offers a safety net without disrupting the entire platform. Regulators may also take note. Clear, transparent responses to incidents demonstrate self-regulation. This could reduce calls for stricter oversight of the DeFi sector. For Aave, the focus now shifts to recovery. Successfully returning funds to users will reinforce its leadership position. Failure could damage trust and invite competition. Conclusion Aave pauses rsETH reserves as a strategic move to maximize fund recovery. This temporary measure affects Ethereum, Arbitrum, Base, Mantle, and Linea. The protocol’s transparent communication and quick action reflect its commitment to user security. While the incident creates short-term inconvenience, it likely prevents larger losses. Aave continues to update the community as recovery progresses. This event underscores the importance of robust security measures in DeFi. It also highlights how responsible protocols handle crises. Users should remain calm and follow official updates for the best outcome. FAQs Q1: Why did Aave pause rsETH reserves? Aave paused rsETH reserves to maximize the recovery of additional funds during an ongoing security incident. This precautionary measure prevents further exposure and protects user assets. Q2: Which chains are affected by the rsETH pause? The pause affects Ethereum mainnet, Arbitrum, Base, Mantle, and Linea. These are the major chains where Aave listed rsETH markets. Q3: How long will the rsETH reserves remain paused? Aave has not provided a specific timeline. The pause will remain until the recovery process concludes and the protocol deems it safe to resume operations. Updates will be shared regularly. Q4: Can I still use rsETH on other platforms? Yes, the pause only affects Aave’s markets. rsETH remains functional on other DeFi platforms and the Kelp DAO protocol itself is unaffected. Q5: Will Aave compensate users for losses during the pause? Aave has not announced any compensation plan. The protocol’s primary goal is to recover additional funds. If successful, users may see their assets restored without loss. This post Aave pauses rsETH reserves to maximize fund recovery: A strategic DeFi safeguard first appeared on BitcoinWorld .