A total of 2.4 trillion BONK tokens worth $6.94 million have just been transferred to a Coinbase wallet. According to on-chain analytics account @lookonchain on X, this move marks the final chapter of the BonkDAO treasury drain. The perpetrator is now sending a strong signal that they are preparing to fully liquidate the remaining assets they hold onto the open market.
The incident began when a trader managed to drain a total of 4.426 trillion BONK worth $21.2 million from the project’s vault. Interestingly, this maneuver was executed through legal governance channels. The attacker initially spent $4.4 million to buy up BONK tokens from the market. This capital granted them majority voting power to pass a self-serving proposal. The voting process concluded decisively: with participation from just 7 wallets, the proposal was approved with 99.9% support.
Several sources have provided slightly different loss estimates. While on-chain records from @lookonchain indicate a figure of $21.2 million, other reports from the Solana community place the total loss around $20 million. However, the ground reality remains the same: out of the total loot, around 800 billion BONK had already been dumped onto the market previously. The remaining 2.4 trillion BONK now parked on the Coinbase exchange serves as a liquidity time bomb ready to be triggered at any moment.
Double Burden on the Solana Ecosystem
This BONK selling pressure comes at a time when the Solana network is struggling to maintain stability. On July 12, Phantom Wallet - the leading wallet in the ecosystem - reported serious performance degradation that directly caused delayed token transfers and user swap issues. These technical problems weighed on the ecosystem, adding to the negative sentiment already spreading across price action.
This condition was immediately reflected in the movement of the network’s primary coin. The price of SOL has remained capped below the $80 mark since early July. The asset has repeatedly failed to break through key resistance levels. Buyer momentum in the market appears increasingly exhausted in the face of persistent selling pressure.
Observing this price action pattern, market analyst Daan Crypto Trades noted that SOL is currently sitting in a critical zone on higher timeframe charts. According to him, buyers face an uphill battle to push prices higher from current levels. If they fail, SOL runs a significant risk of tumbling back into the $60 range.
Sellers Dominate Technical Momentum
SOL’s daily chart also offers little breathing room for buyers. The daily MACD line has slid below the signal line, with the negative histogram widening to 0.40. Another trend indicator, Aroon, further highlights seller dominance: the Aroon Down line stands firm at 78.57%, far outpacing Aroon Up, which lags at 14.29%. All metrics point to strong downward momentum.
The crypto market situation is further exacerbated by global macroeconomic pressures. Recent data shows the 10-year US Treasury yield creeping up to 4.56%. At the same time, the open conflict between the United States and Iran continues to heat up energy markets, driving gasoline prices up to touch $4 per gallon.
A string of deteriorating technical indicators, macroeconomic headwinds, and multi-million-dollar liquidations by the exploiter pose a severe test for Solana ecosystem asset holders. The perpetrator of the BonkDAO legal exploit has cleared the path to convert their remaining looted tokens into cash, leaving the project community to deal with the fallout from their governance system’s vulnerabilities.
Reported via @lookonchain on X.
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Disclaimer: This article is for informational and educational purposes only, not financial advice. Cryptocurrency assets are highly volatile and carry significant risk. Always do your own research (DYOR) and never invest more than you can afford to lose.
