Bitcoin

Bitcoin Volatility Caused Crypto Exchanges Outage

Bitcoin’s price hike was short lived as it took a drastic dip, falling by more than $2,000, as multiple cryptocurrency exchanges faced outage. Bitcoin’s glory time was cut short rather abruptly because multiple cryptocurrency exchanges started facing technical issues. The United States-based major crypto exchange, Coinbase, also faced an outage on Wednesday that affected both its website and API.

As per reports, upon getting the notifications of inaccessibility, the crypto exchange platform was on their feet looking into the matter and an “investigating” message appeared on its status page at approximately 1:47 pm (PDT). Their page read, “We are currently investigating this issue.”

Coinbase wasn’t the only crypto exchange that suffered from an outage during the bitcoin rally. Another popular United States-based exchange, Robinhood, faced similar issues as Coinbase. The crypto exchange posted on its status page: Robinhood Crypto is currently experiencing degraded performance. Our team is working to investigate and resolve this.

READ ALSO: Bitcoin (BTC) Volatility at its Peak, Plunges $2,000 in 18 hours

The Coinbase team was quick to identify and solve the issue within an hour of the reports, and the incident was soon updated as “resolved” on the platform’s page, with the message: “This incident has been resolved. 

In the last couple of weeks, world’s leading cryptocurrency bitcoin took the entire financial world by storm by surpassing the colossal $10,000 price mark. Only just a day ago, BTC was standing strong at around $11,340, all the while projecting a 9.52% increase. The entire crypto community was in frenzy and took their excitement to Twitter. This also included some prominent names including, Tron CEO Justin Sun and Binance CEO Changpeng Zhao.

The outage, however brief, was enough to cause volatility in the price of bitcoin as the coin fell around $1,400 in its value. According to the daily chart of BTC price on Coin360, the currency’s price and market cap went plummeting down just minutes before Coinbase announced the problem.

READ ALSO: Facebook Crypto: Even ‘The Bank of Banks’ is Fearful of Libra

Unfortunately, the crash happened on the heels of yesterday’s rally in which BTC surpassed both the $12,000 and $13,000 price marks in a matter of hours. The exchange did not give any justification as to why the issue occurred in the first place but it’s most likely that the exchange couldn’t handle the flux of sellers and thus went offline. Their initial announcement read: “An error has occurred. We’ve been notified about the issue and are taking a look.”

READ ALSO: Bitcoin FOMO: People Buying Crypto have FOMO From the Last Bull Run

Bitcoin wasn’t the only crypto that was affected direly by the exchange’s outage. In fact, the top three performing coins bore the brunt of Coinbase’s lag. Ethereum (ETH) was trading around $362 prior to the crash; however, it fell to $323.50 within 15 minutes. After that the price did go up to $342. In addition to bitcoin and ethereum, Ripple (XRP) also faced drops. Reportedly, XRP went down from $0.485 to $0.462. However, it later recovered to $0.463.

It appears that June hasn’t been a good month for the crypto exchange as the recent outage occurred only a day after Coinbase witnessed degraded performance on its website and a day earlier, on June 24, Coinbase.com went down. However, both the issues were resolved within an hour of reporting.

The platform remained inaccessible on both mobile and desktop browsers around 20:45 UTC. At the time of going to press, bitcoin was trading at $12,265, according to CoinMarketCap.

READ ALSO: Bitcoin Price Surge, Caused (BTC) Google Search Term Spike

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Abeer Anwaar

Abeer holds a Bachelors degree in Media studies and covers blockchain startups for BlockPublisher. An optimist, excels in the art of the written word and swears by the joy of all things sweet. Contact the editor at editor.startups@blockpublisher.com

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