According to reports, affected by the Binance security vulnerability and the outflow of large amounts of funds from US spot Bitcoin ETF, Bitcoin fell by 39% from its record high, trading around $77,170 in the early hours of October 31. After Bitcoin retreated from its peak of around $126,000 in October 2025, the decline deepened further due to increased fund redemptions and forced selling.
Key Points
- On October 30th, the net outflow of spot Bitcoin ETF in the United States was 643.33 million US dollars.
- TRM Labs traced approximately 18,270 BTC to have been stolen in the Binance vulnerability incident.
- In this round of decline, the liquidation scale of leveraged crypto positions reached $1.53 billion.
- Binance The withdrawal service will be gradually restored on November 1st, but it is subject to passing a security check.
The vulnerability incident related to Binance impacted market confidence, and Bitcoin struggled to regain the level of $77,000 for a while. According to the report on TRM Labs, attackers transferred approximately 18,270 BTC, worth 1.47 billion US dollars, and unauthorized transfers on other blockchains were also identified.
In a statement on October 30, Binance stated that the estimated overall impact of this incident was $6.3 billion, and indicated that approximately $3 billion in crypto assets had been frozen.
Preliminary investigations by the exchange suggest that the issue may be related to an intrusion into the laptop of an engineer with the username DevOps. Binance indicates that the attackers subsequently gained access to a service container and executed unauthorized withdrawal transactions.
U.S. spot Bitcoin ETF recorded a net outflow of approximately $643.33 million on October 30th. SoSoValue data shows that this withdrawal reversed the capital inflows from the previous four consecutive trading days. Binance After the vulnerability incident occurred, the direction of capital flows reversed.
Among them, IBIT of BlackRock recorded a redemption of approximately $233.7 million, while FBTC of Fidelity saw an outflow of $201 million. Compared to the net purchases over the previous four trading days, this change indicates a shift in the flow of funds.
ETF The outflow of funds, coupled with forced selling, exacerbated the decline in Bitcoin. The total amount of position liquidations in the entire cryptocurrency market reached $1.53 billion during this round of declines, putting pressure on both the fund flows and the derivatives market.
Bitcoin tested a support range between $76,000 and $77,000, reaching $76,300 at one point during the session before rebounding to around $77,000. On the morning of October 31st, the price of around $77,170 was still below the $78,000 to $78,500 range.
The technical support level above includes $80,000, which has previously served as a support level; the resistance level is between $82,000 and $83,000, where earlier rebounds were halted.
This decline also coincided with a significant drop in the NASDAQ index, as investors expressed concerns about the profitability of large tech companies in their investments in artificial intelligence. The reduced risk appetite further put pressure on the crypto market, which was already under strain due to vulnerability incidents and the redemption of ETF.
Binance plans to gradually resume withdrawals starting from November 1st, provided that it passes the security verification tests. This resumption plan is proposed after adjustments have been made to its withdrawal service and related address control measures.
Binance, co-founder, stated that recharges have not been affected and the service is still operating normally. The exchange's update on October 30 is expected to restore withdrawal services within 48 hours.
This article was generated with the assistance of artificial intelligence and has been reviewed by an editorial team.
