Bitcoin soars, exchanges heat up, and Coinbase glitches. Lather, rinse and repeat. Following widespread reports that Coinbase users logged in and verified zero balance CEO Brian Armstrong said Wednesday afternoon that the problem had been resolved.
Coinbase’s history of being down during traffic surges has prompted another opportunity for cryptocurrency Twitter to have some fun with the exchange, positioning a familiar technical difficulty as a positive market indicator.
“Coinbase app is down.” Co-founder of Reflexivity Research Will Clemente wrote on Twitter. “We are truly back.”
Cryptocurrency exchanges often experience outages during Bitcoin rallies, which lead to significant surges in user traffic and trading activity along with extreme unpredictability in the Bitcoin price.
“We modeled and load tested traffic spikes of up to 10 times,” Armstrong said. said On Twitter. “We exceeded that number.
“Over-provisioning services is expensive, but we must continue to develop autoscaling solutions and remove any remaining bottlenecks,” he continued. “Thank you for joining us.”
Armstrong said earlier in the day that Coinbase was dealing with a “massive traffic surge.” apologize For any problems that arise.
Cryptocurrency watchers seized on the news as cause for ridicule.
“Coinbase crash is a bullish sign.” Chateau Capital Co-Founder and COO Alex Valetis said. “Retail is coming back!”
“This is like the canary in the coal mine where the Giga Bull is just getting started.” Zeneca, founder of Zen Academy said. “Sleeves…are they coming?”
Competing exchanges could not refuse to participate.
Coinbase’s history of bad days along with Bitcoin’s good days is well established. Coinbase plummeted in 2017 as Bitcoin surged toward its then-high of $19,345. Coinbase has crashed again. April 2020 Bitcoin price rose 15% overnight on April 29th as Bitcoin investors braced for the COVID-19 outbreak. bitcoin halving In May, FOMO set in.
After the Bitcoin price reached $40,000 in January 2021, Coinbase plummeted once again, falling 25% to $8,000. $32000 next day. In May of that year, when the value of BTC fell by more than 30% in 24 hours, another crash. What about when Bitcoin hits an all-time high in November 2021?
Coinbase reported “reconnection issues” a few weeks later.
Existing exchanges operate 6-8 hours a day, 5 days a week, giving developers ample time to resolve technical issues. Cryptocurrency exchanges typically operate 24/7, making their systems much more difficult to maintain, especially during high traffic times.
editor Ryan Ozawa.
Stay up to date with cryptocurrency news and receive daily updates in your inbox.
