Whales Steal the Show as Hackers Reveal Cold Wallet Weakness

A recent hack of a Coldcard device has exposed a potential weakness in cold wallets, which have been touted as one of the safest ways to store cryptocurrency assets. The hackers exploited a technical weakness that allowed them to recreate valid recovery phrases, resulting in losses totaling $100 million to date.

However, despite this supposedly bearish event, whales have taken advantage of the situation by buying 30,000 BTC tokens worth over $200M in just three days. This significant purchase has contributed to a bounce back in Bitcoin's price.

In contrast to the previous month, when investors withdrew $4.5 billion from exchange-traded funds (ETFs), this week saw a positive single-day inflow of $170 million, bringing the total tally to $100 million in losses resulting from the Coldcard hack.