BNB came under intense selling pressure on Thursday, losing 8.7% within an hour as news of the reported $6.36 billion Binance hack unsettled cryptocurrency markets. The token has underperformed Bitcoin and other leading digital assets during the subsequent recovery, while futures data reveals a growing appetite for short positions. With BNB hovering near its 200-day exponential moving average (EMA) around $692, traders are assessing whether this level can prevent another decline.

The sharp sell-off occurred on October 29, when BNB plunged from $744.90 to $680 in roughly 60 minutes. The move followed reports that hackers had extracted approximately $6.36 billion from Binance, the exchange closely associated with the cryptocurrency. The incident has been described as the largest crypto theft on record.

Although BNB recovered part of its losses, buying interest has remained relatively weak compared with other major cryptocurrencies. The token is changing hands near $702, down 6.2% over the previous 24 hours. Its market capitalization is approximately $92.4 billion, leaving it 48.7% below its October 2025 record of $1,370.

The derivatives market is adding to the uncertainty. Negative funding rates indicate that traders holding bearish perpetual futures positions are now paying fees to maintain their exposure.

Binance’s Security Crisis Puts Additional Pressure on BNB

BNB’s strong connection to Binance helps explain why the token has experienced greater selling pressure than Bitcoin. As the exchange’s native cryptocurrency, BNB is particularly sensitive to developments that could affect Binance’s operations, reputation and financial position.

From its Thursday 20:00 UTC price, BNB remains down 5.6%, compared with smaller declines across Bitcoin, Ether, Solana, XRP and Dogecoin.

Notably, the reported attack did not directly compromise the BNB Chain. TRM Labs’ investigation identified ten blockchain networks from which the attacker drained Binance wallets, including Ethereum and Polygon. BNB Chain was not among the affected networks listed in the analysis.

Consequently, the market reaction appears to be driven primarily by concerns about Binance rather than a direct vulnerability in the BNB Chain infrastructure. Since the token is closely linked to the exchange, uncertainty surrounding Binance has translated into immediate pressure on its market value.

Zeus Research analyst Dominick John observed that the exploit had accelerated selling across the broader crypto market, with BNB facing the highest degree of exposure. Rick Maeda from Laevitas, however, considered the decline relatively contained given the potential magnitude of the reported theft.

Negative Funding Rates Highlight Bearish BNB Positioning

Data from OKX shows that futures traders have become increasingly defensive following BNB’s sudden price collapse.

The perpetual futures funding rate moved from +0.01% before the incident to -0.0266% around midnight and -0.0434% by 08:00 UTC. Negative funding means short-position holders are compensating long traders, reflecting stronger demand for bearish exposure. Bitcoin’s funding rate remained positive during the corresponding period.

Open interest also expanded significantly, increasing approximately 20% from $54.8 million to $66 million as additional positions entered the market.

At the same time, the long-to-short account ratio rose from 2.66 to 2.79. This indicates that long accounts still outnumber short accounts despite the negative funding environment.

Taken together, the figures point to a divided market. Smaller traders appear to be purchasing BNB following the correction, while other participants are positioning for further downside.

This imbalance could amplify the next major price movement. If BNB begins recovering, short sellers may rush to close their positions, creating additional upward pressure. However, if the token breaks below key support, leveraged long traders could face mounting liquidation risks.

BNB’s Historical Performance Following Previous Binance Hacks

Previous security incidents involving Binance show that BNB can experience further weakness before recovering. In both major historical cases, the token eventually regained ground within approximately 30 days.

The first incident occurred on May 7, 2019, when hackers stole 7,000 BTC from a Binance hot wallet. BNB subsequently declined 17.5% from its pre-incident closing price and reached $18.30 three days later. Over the following month, the token recovered to a level 39.2% higher.

Another major incident took place on October 6, 2022. An attacker exploited a vulnerability in the BNB Chain bridge to mint 2 million BNB, valued at approximately $570 million. BNB reached $256.80 one week later, representing a 12.7% decline from its pre-incident close. Thirty days after the exploit, the cryptocurrency was trading 20.5% higher.

The current decline has reached 8.7% below BNB’s pre-hack price at its deepest point so far. These historical examples suggest that the token could experience additional selling before a recovery takes shape, although previous price movements do not guarantee a similar outcome.

Market participants have also drawn comparisons with FTT, the native cryptocurrency of FTX, which collapsed after the exchange failed in November 2022.

However, the financial circumstances are different. FTX had misappropriated customer funds and could not meet its repayment obligations. Binance has promised to cover the losses associated with the reported attack. Additionally, Tether, Circle and other organizations reportedly froze approximately $2.7 billion of the stolen assets within hours.

Despite these developments, investors are still waiting for clarity on Binance’s compensation arrangements. The exchange has not explained exactly how it will finance the payout, while withdrawals remain suspended pending the reopening it expected within 48 hours of its Friday morning update.

BNB Technical Outlook: Will Buyers Defend the $692 EMA?

BNB is approaching a significant technical support zone, with its 200-day EMA becoming a key reference point for traders evaluating the possibility of further downside.

The cryptocurrency closed Thursday at $698.46, just above the 200-day EMA at $692.46. During the initial sell-off, BNB briefly slipped below the indicator after reaching $680, but buyers subsequently pushed the price higher.

The 50-day EMA currently sits at $733.06, creating an overhead resistance level that BNB would need to reclaim to strengthen its short-term recovery prospects.

The broader four-month chart also shows that the token has returned to a trading range last observed in late August. BNB previously consolidated between $674.60 and $726 for around two weeks before breaking higher in early September.

That breakout fueled a rally toward $809.99 on October 5. However, the latest correction has erased the entire advance, bringing BNB back toward its earlier consolidation zone.

The $692 region is now an important level for determining the token’s next move. Holding above the 200-day EMA could provide buyers with an opportunity to rebuild momentum and challenge resistance near $733. A decisive breakdown, meanwhile, could expose the lower support around $674.60.

Beyond technical indicators, Binance’s response to the reported security breach is likely to influence BNB’s immediate direction.

A timely restoration of withdrawals could improve confidence and force short sellers to unwind their positions, potentially supporting a recovery. Conversely, additional withdrawal delays or concerns about Binance selling BNB to cover the reported losses could intensify bearish sentiment and put the $674.60 support level at risk.