Bitcoin Drops Below $88,000

April 2: Drift Protocol announced via Twitter that a threat actor executed a novel attack leveraging a durable nonce to gain unauthorized access, quickly seizing control of the Drift Security Council. The attack was highly sophisticated, prepared over several weeks, and involved pre-signed transactions for durable nonce accounts to delay execution. Ongoing investigation findings indicate the incident did not stem from vulnerabilities in Drift Protocol or its smart contracts; there is no evidence of mnemonic phrase theft. Instead, the attacker gained access through unauthorized or forged transaction approvals—potentially involving social engineering. The attack drained approximately $280 million in protocol funds. Affected assets include all borrowing, vault deposits, and trading funds. DSOL (assets not deposited in Drift, including those staked to Drift validators) and the insurance fund remain unaffected, with the latter tapped to provide protection. As a precaution, all rema

April 2nd — Per HyperInsight monitoring (via https://t.me/HyperInsight), a whale with the address prefix 0x610 opened short positions this morning. The trades included a 10x-leveraged BTC short at an average price of $68,309 and a 25x-leveraged ETH short at $2,136, with a combined total size of $17.1 million. As the market later pulled back, the two short positions have accumulated $630,000 in unrealized profit, delivering a 50% overall position return. As of press time, neither position has been closed for profit-taking.

April 2nd — Official sources confirm Upbit and Bithumb will designate DRIFT as a trading warning asset. Upbit announced DRIFT has been classified as a trading warning project by the Digital Asset Exchange Association (DAXA). Currently, DRIFT deposits and withdrawals are suspended. When services resume, only withdrawals will be reinstated; the timeline for restoring deposits will be announced separately following DAXA’s trading warning procedures.

**Genius Group Sells All Remaining Bitcoin in Q1 to Repay Debt (Contradicts 2024 “Bitcoin-First” Pledge)** Genius Group, an AI and crypto firm, said Tuesday it sold its entire remaining Bitcoin in the first quarter to repay debt—walking back its 2024 “Bitcoin-first” strategy—while noting it will rebuild reserves when market conditions improve. In November 2024, the company vowed to hold over 90% of its current and future holdings in Bitcoin. As of March 2026, Genius held 84 BTC (worth approximately $5.7 million). Its Bitcoin holdings have declined since April 2025, when a U.S. court temporarily barred it from expanding its position. The firm posted strong Q1 2026 results: revenue surged 171% year-over-year to $3.3 million, gross profit rose 228% to $2 million, and net income swung from a $500,000 loss in Q1 2025 to a $2.7 million profit. Other companies have cut Bitcoin reserves in 2026: - MARA Holdings sold 15,133 BTC in March, raising ~$1.1 billion for convertible bond

April 2nd: Pard issued a clarification stating that HyperEVM did not suffer a network outage. The current issue is limited solely to the block explorer’s frontend, where a failure to sync and display new blocks has prevented users from accessing data. Earlier, the community and some monitoring tools detected unusual activity on the HyperEVM layer, sparking speculation about a "network outage."