DeFi Exploit and Supply Inflation Threat Hammer Price Downward

• • The daily and 1-hour charts display the price struggling hard to break upper resistance, trapped in a lower consolidation range with thinning volume.
• • Market sentiment on April 26-27, 2026, took a double hit from the Scallop DeFi protocol hack incident and anticipation of a massive token unlock at the end of the month.

This layer-one ecosystem is facing consecutive fundamental storms. Based on reports on April 26-27, 2026, its premier lending protocol, Scallop, was recently exploited, losing 150,000 SUI from their yield contract, marking a highly crucial latest security test for the network. This exploit panic is exacerbated by supply threat sentiment from a large-scale token unlock schedule slated for late April to early May. On the daily (1D) chart, this layered pressure successfully halts the price pace below the strong resistance area at $0.96. The 1-hour (1H) chart also confirms the failure of this recovery momentum, where the price now sitting at the $0.93 equilibrium begins to show structural weakness. The combination of security fears and potential supply inflation is projected to trigger further sell-offs, forcing the price to break the nearest support to slide toward the $0.88 target down to the macro low at $0.85 over the next 3 days.

Correcting price dynamics are sometimes utilized by whales for silent accumulation. If the core team releases convincing security compensation and the price successfully reclaims the upper boundary at $0.98, this bearish scenario will be invalidated and turn into a short squeeze phase.