Coldcard Hack Sends Bitcoin Below $63,000 Amidst Bearish Sentiment
Bitcoin's price fell below $63,000 on Monday as a high-profile hack of Canadian crypto wallet firm Coinkite Inc's Coldcard devices overshadowed hopes for more U.S.-Iran negotiations.
The hack resulted in nearly $90 million worth of Bitcoin being stolen from over 4,500 wallets. This was particularly unsettling for the market since cold wallets are typically considered one of the safest ways to store cryptocurrency. However, a flaw in the Coldcard devices made them vulnerable to remote access.
This latest development added to the bearish sentiment in the crypto market, which has been struggling with a prolonged exodus of investor interest this year. Weak second-quarter earnings from major companies such as Strategy Inc and Coinbase Global Inc also weighed on the sector. Strategy reported a larger-than-expected loss due to its massive Bitcoin holdings, while Coinbase clocked weaker-than-expected quarterly earnings.