Aave, Compound Reveal Plan for $290M Kelp DAO Hack

Aave and Compound just dropped a technical blueprint to clean up the mess from the $290M hack on Kelp DAO, focusing on protocol upgrades and user reimbursements to prevent future exploits in the DeFi space.

This move hits as DeFi hack recovery strategies gain traction, echoing last quarter's exploits that rattled ETH price predictions and sparked crypto market crash fears. Traders eye these developments closely, weaving in broader trends like Bitcoin dominance amid HYPE around decentralized finance resilience.

Zooming into ETH's 4h chart, price action clings to $2289.8, trapped in a bearish grind below the EMA50 at $2318.24 while the EMA200 at $2249.81 acts as a shaky floor. MACD screams bearish with a -13.02 reading post-death cross, and RSI at 43.76 stays neutral but hints at exhaustion. Volatility squeezes inside Bollinger Bands, testing upper resistance at $2384.67—expect a sharp pullback to that EMA200 support before any rebound, especially if DeFi jitters amplify the downside pressure on ETH.