GMX crypto price outlook after team explains $40m hack

Key Points

1. GMX token price dropped to $10.20, its lowest since April 7, marking a 40% decline from its July high and a 76% drop from its November peak.

2. The hack on GMX V1 on Arbitrum led to the draining of $40 million worth of tokens from the GLP pool into an unknown wallet.

3. GMX paused trading on V1 and halted the minting of GLP tokens as a response to the exploit; mining of new tokens on GMX V2 was also suspended.

4. Blockchain security firm SlowMist identified the exploit as stemming from a flaw in GMX’s pricing mechanism, allowing manipulation of GLP token pricing through a reentrancy attack.

5. GMX joins other exploited platforms in 2025, including Bybit, Coinbase, and Cetus Protocol, which suffered losses ranging from $180 million to $400 million.