How do attacks on the blockchain affect the rate of cryptocurrencies?

Question

bitcoin

I read articles that attacks on the blockchain with the PoS consensus algorithm are not beneficial to the attacker, since the exchange rate of the cryptocurrency falls after a successful attack. How does the attack affect the cryptocurrency exchange rate? The rate drops if everyone starts selling it en masse, then how will users know that an attack has been carried out?

Answer 1

How does the attack affect the cryptocurrency exchange rate?

Yes, it's elementary - people see that some person is doing wild and make a hard fork.
If this was a significant event and, roughly speaking, everything budged from the "wrong" chain, then the attacker no longer has a currency, but candy wrappers that no one needs.
And so the rate goes down.
Don't forget about cause and effect.
The rate falls not from an increase in supply (mass sales), but from a decrease in demand.
That is:
Some person starts to turn the market as he wants, and the network breaks because of this
=> people will find out about it (in parallel, there is a hard fork with another "correct" chain)
=> demand for such a cryptocurrency falls
=> New buyers do not appear. Those who were ready to buy expensive have already bought, only those who are ready to buy cheap remain. (just look at how stock orders look - this is a set of offers to sell for X and buy for Y)
=> Those who still have these useless candy wrappers - sell them at least for some price (because they have nothing to lose - in the new fork at they have the same money.)
By the way, the money remains with the attacker, just the state of the network will be "before".
(unless, of course, they were deliberately deprived of it in this fork)