Bitcoin Ascent To $64,000 Causes Coinbase To Crash – Here’s What Happened

Christian Encila

1 year ago

3 mins read

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Not long after the value of Bitcoin surpassed $62,000, its highest level since 2021, Coinbase had severe disruptions and issues on Wednesday afternoon, preventing some customers from signing in at all and causing some user accounts to reflect a $0 balance.

Crypto aficionados were furious on social media because they are unable to access their money on the biggest cryptocurrency exchange in the United States. Furthermore frustrating, some customers have reported errors when buying and selling.

The continuous demand for Bitcoin is seen as main the reason behind the sudden crash of the Coinbase app. The leading cryptocurrency had a 40% price increase this month as a result of US bitcoin spot ETFs. This was the biggest monthly gain the digital asset had seen since December 2020, according to reports.

Bitcoin Price Action Today

With a ferocious start to March, Bitcoin’s unprecedented activity has positioned it for its biggest monthly gain in over three years on Thursday. Bitcoin is currently very close to reaching a new high due to the money flooding into listed bitcoin funds, which is driving a significant increase.

Bitcoin nearing the $63k level today. Source: Coingecko

The world’s leading cryptocurrency briefly touched $64,000 (the first rise above $60,000 since November 2021), before partially reversing the gains. According to Coingecko data, BTC was trading at $62,765. It was up 10% and 22% on a daily and weekly basis, respectively.

After plunging 64% in 2022, the value of bitcoin has more than tripled since the start of the year. That represents a remarkable comeback from a slew of scandals and bankruptcies that had raised concerns about the long-term viability of cryptocurrencies.

Bitcoin market cap currently at $1.2 trillion. Chart: TradingView.com

Are Coinbase Funds Safe?

Meanwhile, customers can now log back into the exchange, according to a statement from Coinbase, although users are still reporting issues with “certain payment methods” and issues with sending and receiving money.

I had $3.6 Million on Coinbase

and now it’s shows $0 lol

WTF IS HAPPENING ? pic.twitter.com/BaV4pWjFo6

— Ash Crypto (@Ashcryptoreal) February 28, 2024

While acknowledging that “some users may see a zero balance” on all of their Coinbase accounts and may run into problems while purchasing or selling, Coinbase reassured customers that their money was secure. Additionally, the exchange made it clear that there have been significant delays in money transfers via the Ethereum ERC-20 network.

Coinbase, Binance, and Kucoin all down!! WTF is going on!!

— Kyle Chassé (@kyle_chasse) February 28, 2024

There are rumors of similar crashes on other significant exchanges, such as KuCoin and Binance. But there is still no proof to support these allegations.

The situation comes at a difficult moment for Coinbase, as more inexperienced investors are returning to the market for cryptocurrency trading and discovering they appear to have no assets.

Disappointed in Coinbase for this man.

It’s 2024, we must have our shit together. pic.twitter.com/VioBxw8am5

— MASON VERSLUIS (@MasonVersluis) February 28, 2024

The disruption at Coinbase is not unprecedented; in every bull market, there are technical problems that arise when the platforms cannot handle the volume of buying and selling. As a result, the lack of technological safeguards on sites like Coinbase to handle such problems infuriates members of the cryptocurrency community.

Featured image from Pixabay, chart from TradingView

Christian Encila

They say journalists never truly clock out. But for Christian, that's not just a metaphor, it's a lifestyle. By day, he navigates the ever-shifting tides of the cryptocurrency market, wielding words like a seasoned editor and crafting articles that decipher the jargon for the masses. When the PC goes on hibernate mode, however, his pursuits take a more mechanical (and sometimes philosophical) turn.

Christian's journey with the written word began long before the age of Bitcoin. In the hallowed halls of academia, he honed his craft as a feature writer for his college paper. This early love for storytelling paved the way for a successful stint as an editor at a data engineering firm, where his first-month essay win funded a months-long supply of doggie and kitty treats – a testament to his dedication to his furry companions (more on that later).

Christian then roamed the world of journalism, working at newspapers in Canada and even South Korea. He finally settled down at a local news giant in his hometown in the Philippines for a decade, becoming a total news junkie. But then, something new caught his eye: cryptocurrency. It was like a treasure hunt mixed with storytelling - right up his alley!

So, he landed a killer gig at NewsBTC, where he's one of the go-to guys for all things crypto. He breaks down this confusing stuff into bite-sized pieces, making it easy for anyone to understand (he salutes his management team for teaching him this skill).

Think Christian's all work and no play? Not a chance! When he's not at his computer, you'll find him indulging his passion for motorbikes. A true gearhead, Christian loves tinkering with his bike and savoring the joy of the open road on his 320-cc Yamaha R3. Once a speed demon who hit 120mph (a feat he vowed never to repeat), he now prefers leisurely rides along the coast, enjoying the wind in his thinning hair.

Speaking of chill, Christian's got a crew of furry friends waiting for him at home. Two cats and a dog. He swears cats are way smarter than dogs (sorry, Grizzly), but he adores them all anyway. Apparently, watching his pets just chillin’ helps him analyze and write meticulously formatted articles even better.

Here's the thing about this guy: He works a lot, but he keeps himself fueled by enough coffee to make it through the day - and some seriously delicious (Filipino) food. He says a delectable meal is the secret ingredient to a killer article. And after a long day of crypto crusading, he unwinds with some rum (mixed with milk) while watching slapstick movies.

Looking ahead, Christian sees a bright future with NewsBTC. He says he sees himself privileged to be part of an awesome organization, sharing his expertise and passion with a community he values, and fellow editors - and bosses - he deeply respects.

So, the next time you tread into the world of cryptocurrency, remember the man behind the words – the crypto crusader, the grease monkey, and the feline philosopher, all rolled into one.

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