Bitcoin Rebounds Toward $64,000 as Traders Shrug Off Coldcard Sweeps

Coldcard, a hardware wallet made by Coinkite, is designed to keep bitcoin private keys offline. The incident matters because a firmware build dating to March 2021 directed seed generation to a predictable software randomizer instead of the device’s hardware source, potentially allowing vulnerable keys to be reconstructed offline. The breach challenged confidence in cold storage just as Strategy, the largest corporate bitcoin holder, was selling coins to fund preferred-stock dividends and buybacks, creating another potential source of market pressure.

Bitcoin rose 1.6% over 24 hours on Aug. 4, reaching $64,160 in Asian trading, its highest since July 31, after falling to about $62,250 on Monday. Researchers estimated that about 1,816 BTC, worth roughly $114 million, had been removed from more than 5,200 Coldcard-generated addresses since July 30; a fourth sweep alone moved about 449 BTC from 709 addresses. Strategy sold 1,638 BTC for roughly $105 million from July 27 through Aug. 2. Most major tokens advanced, while Cardano’s ADA climbed to $0.195, a one-month high.