Midnight's 515M NIGHT Bridge Exploit Triggers 32% Token Slide

Crypto markets have faced a rough 2026, with hacks accelerating across the sector. In July alone, more than $59 million in digital assets was exploited, pushing year-to-date losses to about $1 billion. Cross-chain bridge attacks have led much of the damage, and Midnight is the latest network to be hit. Midnight Foundation and on-chain tracking accounts flagged a security incident tied to the Wanchain Cardano-to-BNB cross-chain bridge. A two-year-old contract holding 515 million NIGHT was compromised, draining the reserves that backed Wanchain-wrapped NIGHT on BNB. After the breach, the stolen tokens were funneled through new wallets and sold on Cardano-based DEXs. The attacker has already offloaded 290 million NIGHT and may sell the remainder. As a result, wrapped NIGHT on BNB is now unbacked even though the token supply on BNB has not changed. Midnight Foundation said the core Midnight network was not breached and that the issue was limited to cross-bridge operations. NIGHT tumbles as selling accelerates Following the incident, NIGHT came under heavy sell pressure. The token fell 32%, printing a new all-time low of $0.015 before recovering slightly to around $0.019 at the time of writing. Market capitalization slid 27% to $324 million, while trading volume surged 829% to $131 million, a combination that pointed to aggressive sell-side activity. Data cited from Coinalyze showed elevated selling as the attacker continued to unload tokens. The move also sparked a broader rush for the exits among holders. In spot markets, sell volume climbed to 624 million over the past 24 hours. Similar positioning was seen in derivatives. CoinGlass data showed Futures Outflows rising to $67.4 million. Inflows fell to $62.3 million, with Netflow dropping 1000% to $5.1 million, suggesting many traders turned bearish and reduced exposure to limit further losses. Outlook for NIGHT With sentiment still weak and positioning reduced, momentum indicators have deteriorated. NIGHT's Relative Strength Index (RSI) fell to 17, deep in oversold territory, underscoring strong downside pressure and seller control. If bearish conditions persist, NIGHT could remain below $0.02, with $0.015 acting as the key support level. Final recap Midnight was hit by a cross-bridge exploit that drained 515 million NIGHT from the Wanchain Cardano-to-BNB bridge. NIGHT dropped 32% and marked a new all-time low of $0.015 amid intense panic selling.