Over the past 48 hours, $BTC has predominantly traded within the $64,500 to $65,250 range. By the morning of Sunday, August 9th, Bitcoin was trading between $64,800 and $64,900, with neither of these events triggering the sharp sell-off that often follows major security breaches or contentious network conflicts.
Coldcard Crisis Fails to Shake Bitcoin Out of Its Range
More significant financial losses are tied to Coldcard—a hardware wallet manufactured by Coinkite. A firmware vulnerability discovered in March 2021 weakened the randomness used to generate some wallet seeds, rendering certain devices susceptible to offline attacks allowing the recovery of private keys.
The attacks began on July 30th. The first major wave led to the loss of approximately 594 to 1,196 $BTC from over 1,100 addresses in less than an hour. Subsequent thefts have caused high-confidence loss estimates to rise to around 1,596–1,719 $BTC, and when including suspicious activity, the total may increase to approximately 2,055 $BTC, which at current prices is about $133 million.
Coinkite issued a patched firmware and advised affected users to create entirely new seeds and move their funds. Updating the vulnerable device itself cannot restore the old seed, as the vulnerability was embedded during the initial seed generation. Thus, the incident represents a serious failure in self-custody systems, but not a failure of the Bitcoin blockchain, its monetary rules, or its mining network.
This distinction appears to matter to traders. Rather than viewing the theft as a systemic Bitcoin problem, the market largely assessed it as a security breach specific to a particular product. The stolen coins constituted only a tiny fraction of the circulating supply, and the network overall continued to operate normally.
BIP-110 Schism Hits a Wall Almost Immediately
Bitcoin then faced a separate test when, around block 961,632, the deployment of BIP-110 began. This proposal aimed to temporarily limit certain forms of non-financial data stored on the Bitcoin network and relied on a miner signaling threshold of 55%, which was never even remotely reached. By the end of the signaling period, the support level hovered around 2.53%.
When nodes supporting BIP-110 began rejecting blocks that did not signal support for BIP-110, a minority chain emerged. Miners from "Roughnecks" generated two BIP-110-compliant blocks, but the branch quickly stalled while Bitcoin's dominant chain continued to add blocks. The minority branch inherited Bitcoin's full mining difficulty despite controlling only a tiny fraction of the network's hashpower, making the creation of additional blocks extremely slow.
By August 9th, the alternative chain was effectively dead in the water. Statistics show that approximately 99.85% of the hashpower remained on Bitcoin's main chain, leaving the BIP-110 branch facing an exceedingly long wait to reach the 2,016-block difficulty adjustment, which could have simplified mining. Discussions about changing the proof-of-work algorithm would essentially result in a separate network and asset, not a change to Bitcoin itself.
Bitcoin Traders Keep an Eye on the $64,000 Level
Throughout both episodes, the Bitcoin price remained unusually stable. The last 24 hours were characterized by a narrow intraday range: highs were near $65,000 to $65,150, and lows were in the upper $64,000 range. There was no significant spike in trading volume or a directional candlestick directly linked to either the Coldcard events or the BIP-110 split.
Momentum indicators also pointed to indecision on Sunday morning. The 14-period Relative Strength Index oscillated between 53 and 55, a neutral value, while the Moving Average Convergence Divergence (MACD) indicator remained mostly flat on shorter timeframes. The nearest support lies in the $64,000 to $64,500 range, with stronger demand seen near the $62,000–$63,000 zone. Resistance remains concentrated in the $65,000 to $65,500 range, followed by the $66,000 to $67,000 level.
The coming week may determine whether this stability will hold. A sustained move above the $65,500 to $66,000 range with increased trading volume could open the path to the $67,000 to $69,000 zone, while a breakdown below $64,000 could bring the $62,000 to $63,000 range back into play. Traders will also monitor fund flows into U.S. spot Bitcoin ETFs, macroeconomic data, exchange flows, and whether trading volume recovers on weekdays after the weekend lull.
For now, the most striking aspect of this story is what didn't happen. In the span of a week, both a hardware wallet vulnerability and a real fork into a minority chain occurred, yet $BTC remained trapped in a very tight range. The next significant move may depend less on these events and more on liquidity, institutional flows, and whether buyers or sellers can finally break through the $64,000 to $66,000 corridor.
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