According to reports from Brazil's National Civil Aviation Agency (Anac), investigations are underway to explore the circumstances surrounding the accident. Eyewitness accounts describe a sudden fire in the balloon's basket, prompting the pilot to attempt an emergency descent. While some passengers jumped to safety, many tragically could not escape before flames engulfed the craft. Among the deceased are two couples, a mother and daughter, an ophthalmologist, and a figure skater, deeply affecting their families and the local community.

The ballooning company, Sobrevoar Serviços Turísticos, has halted operations indefinitely, stating it followed all regulations and had no previous incidents. They expressed deep sorrow and commitment to assisting affected families. State officials, including President Luiz Inácio Lula da Silva, have extended support to victims' families and emphasized that the focus is currently on helping those affected by this disaster while investigations commence. Praia Grande, known for its scenic hot air balloon experiences, is now grappling with this tragic loss.