Bitcoin Tumbles Below $63,000 Amid Fresh Attack Concerns

Bitcoin's price extended its decline on Monday, falling below $63,000 as it traded at around $62,800. This drop comes after a week of losing more than 2.8% in value.

The cryptocurrency's price pressure is attributed to weakening institutional demand and growing concerns over potential attacks targeting Coldcard hardware wallets. Analysts warn that if investment outflows from US-listed spot Bitcoin exchange-traded funds (ETFs) continue or accelerate, Bitcoin could face additional downside pressure.

Data from SoSoValue showed net outflows of $61.53 million last week, ending a three-week streak of positive inflows. Alex Thorn, Head of Research at Galaxy Research, warned that Coldcard wallet users could face a fourth wave of coordinated attacks due to a serious firmware vulnerability affecting certain devices.