Bitcoin Price Holds at $64,451 as Weak Institutional Demand Limits Recovery

Key Takeaways

• Bitcoin traded at $64,451.18 as of 03:43:58 UTC on August 6, representing a five-day gain of 2.40%.
• The Coldcard wallet exploit prompted approximately 119,000 dormant BTC to move, but most of those coins were transferred into new wallets rather than exchanges.
• On-chain data suggest that selling pressure is approaching exhaustion, although continued ETF outflows and limited corporate buying leave Bitcoin without a strong institutional catalyst.

Bitcoin remained below the psychologically important $65,000 level on Thursday, failing to match the stronger movements recorded across equities, precious metals and other traditional assets.

BTC was priced at $64,451.18 as of 03:43:58 UTC on August 6. The cryptocurrency had gained $1,512.65, or 2.40%, over the previous five days, according to the latest market snapshot.

Bitcoin’s market capitalization stood at approximately $1.29 trillion, while 24-hour trading volume reached $22.14 billion. Circulating supply was reported at 20.07 million BTC.

The latest price was about $449, or 0.7%, below the $64,900 level cited in an earlier Glassnode-based market report published approximately four hours earlier. The pullback reinforces the view that Bitcoin remains trapped in consolidation despite showing some evidence of seller exhaustion.

Bitcoin Lags Stronger Moves in Traditional Markets

Bitcoin’s limited movement contrasts with substantial activity in other financial markets.

Major US equity indexes recently approached or reached record levels, while gold delivered one of its strongest daily advances of the year. Oil prices and government bond yields also moved sharply as investors responded to US employment data and developments surrounding the Strait of Hormuz.

Bitcoin has historically been sensitive to changes in risk appetite, liquidity and monetary-policy expectations. However, the cryptocurrency has shown only a muted reaction to the latest macroeconomic developments.

Glassnode described the market as caught between declining selling pressure and insufficient new demand. Existing holders appear increasingly reluctant to sell at current prices, but buyers have not provided enough capital to push BTC decisively above $65,000.

Coldcard Exploit Moves Old Coins Without Triggering Sell-Off

The recent Coldcard hardware-wallet security breach created a sharp increase in Bitcoin blockchain activity but did not produce significant exchange inflows or selling pressure.

A firmware vulnerability weakened the private-key generation process on affected Coldcard devices, allowing attackers to identify and drain vulnerable wallets. Estimates of the losses have increased as blockchain investigators discover additional victims and addresses.

The incident prompted users to move funds from potentially compromised addresses into newly generated wallets. Glassnode reported that approximately 119,000 BTC that had remained inactive for at least one year moved within three days.

That figure was roughly 200 times larger than the initially estimated quantity of stolen Bitcoin. Despite the scale of the movement, only about one-tenth of those coins reached cryptocurrency exchanges.

The supply held in wallets younger than one month increased, while new-address creation quickly returned to normal. These patterns suggest that most affected holders were moving Bitcoin into secure cold storage rather than preparing to sell.

The absence of a major price reaction is notable because such a large movement of dormant coins can normally generate concerns about incoming market supply.

On-Chain Data Point to Gradual Seller Exhaustion

Bitcoin is beginning to display characteristics associated with previous market bottoms, but the current process has developed through inactivity rather than panic.

Historical BTC lows have often followed sharp price declines, leveraged liquidations and sudden increases in volatility. The current market has instead experienced a prolonged period of sideways trading and gradually declining holder profitability.

Glassnode’s Seller Exhaustion Constant has fallen to its lowest level of the current cycle and entered a range associated with earlier market bottoms. The indicator assesses whether investors are losing the willingness or capacity to continue selling.

However, the reading remains approximately one-third above the extreme levels recorded during previous bear-market lows. Bitcoin may therefore be approaching a bottoming zone without having reached full capitulation.

Seller exhaustion can reduce downside pressure, but it does not automatically produce a sustainable rally. A stronger source of spot demand is still required to move BTC out of its current range.

Institutional Demand Remains the Missing Catalyst

US-listed spot Bitcoin exchange-traded funds are no longer providing the structural buying support seen during previous recoveries.

Glassnode estimated that the funds recorded net withdrawals equivalent to approximately 65,800 BTC during June. Dollar-based calculations put total monthly outflows at roughly $4.5 billion, the largest withdrawal since US spot Bitcoin ETFs launched.

Corporate treasury purchases were not sufficient to offset those redemptions. This represents a major change from the previous two years, when ETF inflows and corporate accumulation regularly supported Bitcoin during market pullbacks.

Without renewed institutional buying, Bitcoin’s next recovery may need to depend on organic spot-market demand and a continued decline in selling from long-term holders.

Options Market Shows Little Breakout Conviction

Bitcoin options traders also appear uncertain about the market’s next direction.

Upside implied volatility has fallen to a record low, indicating limited demand for bullish options exposure. Downside volatility remains closer to normal levels, suggesting that traders are not aggressively positioning for a major collapse either.

Bitcoin therefore remains caught between improving supply conditions and weak demand. The cryptocurrency has gained 2.40% over five days, but its price of $64,451.18 shows that buyers have yet to establish a convincing break above $65,000.

Until ETF flows recover or another major source of capital returns, Bitcoin may continue consolidating even as traditional assets experience stronger directional moves.