Binance's pledge to cover user losses from its $6.3 billion hack helped contain the fallout across crypto markets, analysts told Cointelegraph. The episode has become an early test of whether a major exchange can absorb an extreme loss from its own balance sheet without transmitting stress across the wider market.

“There doesn't seem to be any contagion-type effect from the hack, given that Binance is able to cover the losses using its balance sheet,” Martin Lee, market insights lead at DWF Labs, told Cointelegraph. He added that investors have instead turned their focus to the implications of the US midterm elections.

Withdrawals have steadied: Binance's daily net outflows — the amount by which funds leaving the exchange exceeded incoming deposits — fell to $458 million in the 24 hours leading to Monday's publication time, down from $6.1 billion on Nov. 2 after withdrawals resumed, according to DefiLlama, a platform that tracks exchange reserves and flows. Outflow data is a standard gauge of depositor confidence in the aftermath of an exchange incident.

Attackers stole about $6.3 billion from Binance hot wallets — internet-connected wallets exchanges rely on for day-to-day withdrawals — in the Oct. 29 breach, making it the largest crypto hack to date. Bitcoin (BTC) fell as much as 5.7% over the first five days after the incident, a decline on-chain analytics firm CryptoQuant described as “modest” in its Wednesday report.

The move was mild by historical standards. Bitcoin fell roughly 13.6% after the $1.4 billion Bybit hack in 2025 and about 9.9% following the Coincheck hack in 2018, per CryptoQuant, which found that at least 14 of the past 38 hacks it reviewed were followed by steeper Bitcoin declines than the current drawdown. That contrast underpins the analysts' core argument: when an exchange can cover losses from its own reserves, a breach does not automatically become a market-wide event.

Bitcoin's drawdown after the Binance hack, compared with previous exchange hacks. Source: CryptoQuant

Major exchange hacks have previously triggered “short-lived drawdowns that markets later absorbed” as long-term holder demand returned, Lacie Zhang, research lead at Bitget Wallet, told Cointelegraph. She added that the breach does not represent a “structural trend reversal” for crypto markets.

Related: Binance hackers had 8-week intrusion window before $6.3B exploit: SEAL

Bitfinex analysts say CPI could help confirm a Bitcoin bottom

“Much of the hack's impact now looks priced in,” with Bitcoin currently trading at an “attractive level,” Bitfinex analysts told Cointelegraph.

“Confirmation of a market bottom now depends on the Consumer Price Index (CPI) reading due on 10 November, which will shape the Federal Reserve's next rate decision. Higher bond yields would put pressure on risk assets.”

CPI prints are among the most closely watched economic releases for crypto and other risk assets because they feed directly into expectations for Federal Reserve policy. Rate hike expectations have climbed: Market participants priced in an 80% chance that the Federal Reserve will raise rates at its Dec. 9 meeting, up from 69% a month earlier, according to the CME Group's FedWatch tool, a market-based tracker of Fed policy expectations.

Bitcoin fell 2.5% over 24 hours to $74,580 as of 1:21 pm UTC on Monday, according to CoinMarketCap, a cryptocurrency price aggregator.

Source: Cointelegraph