Bitrue Hacker Profits $9.3M on ETH Trades Before Laundering $30M via Tornado Cash

An audacious actor behind the 2023 hack of the Bitrue cryptocurrency exchange has resurfaced, initiating a large-scale laundering operation for their ill-gotten gains. According to on-chain data from Debank cited by the analyst EmberCN, the hacker has funneled approximately $30 million worth of Ether (ETH) through the privacy-focused mixing service Tornado Cash. This move comes after the individual executed a remarkably successful trading strategy, turning the initial $23 million theft into a significantly larger sum by capitalizing on Ethereum's market volatility. The event serves as a dual narrative for traders: a stark reminder of the persistent security risks within the digital asset space and a case study in profitable, albeit illicit, market timing.

A Calculated Bet on Ethereum's Volatility

The hacker's on-chain history reveals a shrewd approach to managing the stolen assets. Following the theft in 2023, the perpetrator sold the initial batch of tokens. They then waited for a market downturn, strategically re-entering the market to buy ETH after its price had fallen. This patient strategy paid off handsomely. In 2023, ETH reached highs of around $2,450, but by April of the following year, it had retraced to lows near $1,472. The hacker bought back in during this period of weakness and held the position as Ethereum mounted a powerful recovery, with prices recently surging as high as $2,873. This series of trades netted the hacker an additional profit of $9.37 million, according to EmberCN's analysis, bringing their total holdings to over $30 million before the laundering process began. This highlights the immense profit potential within crypto's price swings, a factor that legitimate traders leverage daily.

The On-Chain Trail: From HyperLiquid to Tornado Cash

The laundering operation appears to be systematic and multi-faceted. Etherscan data reveals a trail of transactions designed to obscure the origin of the funds. Beyond the recent large-scale deposits into Tornado Cash, the hacker's wallet shows activity throughout April, including several deposits to the decentralized derivatives exchange HyperLiquid. This suggests the use of decentralized finance (DeFi) platforms not only for trading but potentially as an intermediary step in the laundering chain. By routing funds through various protocols before sending them to a mixer, criminals attempt to break the on-chain link back to the original exploit. As of the latest reports, all the stolen funds are being systematically dispersed through Tornado Cash, making future tracking exceptionally difficult. This ongoing challenge underscores the broader industry issue of hacks and exploits, which resulted in investor losses of $1.67 billion in the first quarter of this year alone.

Market Impact and ETH Trading Analysis

Despite the large sum being moved, the immediate market impact on ETH appears muted, demonstrating the market's maturity and resilience. As of this analysis, the ETH/USDT pair is trading robustly around $2,582, marking a 2.8% gain over the past 24 hours. The price has navigated a range between a low of $2,505 and a high of $2,603 in that period. For traders, the $2,500 level now acts as a crucial psychological and technical support zone. A sustained hold above this area would be bullish. Conversely, the recent high near $2,600 presents the first line of resistance. A decisive break above this could open the door for a retest of higher levels seen earlier in the week. Furthermore, the ETH/BTC trading pair shows notable strength, climbing 1.6% to 0.02361 BTC. This outperformance against Bitcoin often signals a risk-on appetite in the market and can be a leading indicator for a broader altcoin rally. While the hacker's laundering activities could introduce sell pressure as the ETH is eventually cashed out, the current price action suggests that buying demand is comfortably absorbing the flow.

In a wider market context, other major assets like Solana (SOL) are also posting gains, with SOL/USDT up 3.6% to trade at $152.85. This indicates a broad-based positive sentiment that is currently overriding concerns from the Bitrue hack. Traders should continue to monitor on-chain flows for any signs of large, concentrated sales from wallets associated with the Tornado Cash outflows. However, the primary focus remains on key technical levels. A failure to hold the $2,500 support in ETH could signal a shift in sentiment, while a break of $2,600 resistance would reaffirm the current bullish momentum. The hacker's profitable trade, while criminal, ironically reinforces the core appeal for many traders: the potential for significant gains through strategic positioning in a volatile market.