A recent report contends that the Ledger app has failed to fix a major vulnerability that allows for a “Bitcoin Fork” attack.

jumbo jili

Mo Nokhbeh has claimed that Ledger’s wallet fails to properly isolate the apps responsible for authorizing the transactions of different assets. This creates a vulnerability where a user’s wallet can be fooled into authorizing a transaction for a less valuable asset — such as Litecoin (LTC), Bitcoin Cash (BCH) or any other Bitcoin fork coin — when in reality, a Bitcoin (BTC) transaction is being released. Nokhbeh told Cointelegraph:

“This app should be isolated such that it only signs for testnet derivation paths. However, sending it a regular mainnet bitcoin transaction will pass. In addition, it will present the TX as if it’s testnet bitcoin, to a testnet bitcoin address.”

According to Nokhbeh, he made Ledger fully aware of this vulnerability, and despite acknowledging it, the company has failed to fix it. Instead, they have chosen to release an update to their existing app that will provide users with a warning prompt if such an exploit is detected.


Square’s Cash App product has generated $875 million in revenue from Bitcoin (BTC) trading in the second quarter of this year. This is a 600% increase over the comparable quarter in the previous year. This shows increased trader interest, which could have been spurred by the cash heavy “government stimulus programs.”

The recent breakout of Bitcoin above the $10,000–$10,500 zone could spark further interest among traders. Twitter personality Dave Portnoy has shown interest in knowing about Bitcoin trading from the Winklevoss twins.

If Portnoy can influence his followers, then several new traders are likely to enter the crypto space. However, how many of them will stick around for the long-term is difficult to assess.


The derivatives markets give a good insight into the expectations of the larger traders. Although the sharp drop in Bitcoin’s price on Aug. 2 led to liquidations in futures contracts worth over $1 billion, the open interest quickly recovered within 48 hours, suggesting strong accumulation at lower levels.

While these are positive signs, Glassnode believes that a sharp reversal in the US stock markets could halt Bitcoin’s “bull run in its tracks.”

After forming an inside day candlestick pattern on Aug. 3 and 4, Bitcoin is attempting to resume its up move today, which suggests that the bulls have overpowered the bears.

The upsloping moving averages and the relative strength index in the overbought zone suggest that the bulls are in command.

If the buyers can propel the BTC/USD pair above $12,113.50, the uptrend is likely to resume. The next target objective to watch on the upside is $13,000 and then $14,000. The bears are likely to defend the $14,000 levels aggressively, hence, a meaningful correction is possible at those levels.

Contrary to the assumption, if the pair turns down from the $12,113.50 resistance, it could enter a consolidation between $10,400–$12,113.50 for a few days. A break below $10,400 will be a huge negative as it is likely to catch several bulls off guard, resulting in liquidations of long positions.

Ether (ETH) has been sustaining above the $366 support and is attempting to gradually inch higher. If the bulls can propel the biggest altcoin above the $400–$415.634 resistance zone, a rally to $480 is possible.


Although the upsloping moving averages suggest an advantage for the bulls, the deeply overbought reading on the RSI warrants caution.

The failure to break above the $415.634 level could attract profit booking by the short-term traders that could pull down the ETH/USD pair to $366 level. A break below this support will be the first sign that bears are making a comeback.

Below $366, the correction can extend to $346.857 and $325.612, which are 38.2% and 50% Fibonacci retracement levels of the most recent leg of the rally. A bounce from either support will be a positive sign as that will indicate buying interest at lower levels. However, if the bears sink the price below $304.367, a trend change is likely.

XRP has formed successive inside day candlestick patterns on Aug. 3 and 4, suggesting indecision among the bulls and the bears. However, the bulls have kept the altcoin above the $0.284584 support since Aug. 2, indicating buying on dips.


Both moving averages are sloping up and the RSI is in the overbought territory, which suggests that the bulls are in command. If the bulls can push the price above $0.32, it will increase the possibility of a retest of the overhead resistance at $0.346727.

Contrary to this assumption, if the XRP/USD pair sinks below $0.284584, it will indicate that the momentum has weakened. The next support to watch on the downside is the 20-day exponential moving average ($0.249).

If the pair rebounds off this support, the bulls will again attempt to resume the uptrend. However, if the bears sink the price below the 20-day EMA, a deeper correction is likely.

Bitcoin Cash (BCH) has been sustaining above the $280 support for the past two days, but the failure to rebound sharply from this level signals a lack of demand at higher levels.