Bitcoin Price Plummets Amid Cold Card Exploit and Waning Demand

The Bitcoin price has declined by about 1% this week, trading near $63,600. The cold card hardware wallet exploit is a major contributor to this drop, with reports indicating that attackers have drained approximately $88.6 million in Bitcoin across multiple waves.

This security scare has led to a decrease in confidence in self-custody, as evident from the negative social media commentary ratio reported by Santiment. The situation has been further exacerbated by cooling ETF demand and a large corporate sell-off.

Michael Saylor's company, Strategy, has confirmed that it increased its USD reserve by $250 million and repurchased $81 million in STRC shares. However, the company also sold 1,637 BTC worth approximately $105 million between July 27 and August 2.