The leading US-based cryptocurrency exchange, Coinbase, reportedly experienced issues again as Bitcoin’s price suddenly dropped, losing around 20% quickly. This isn’t the first time the exchange goes down amid sudden movements of the kind.
Bitcoin is known to be volatile. What is more, when there’s volatility, it usually takes place in sudden bursts rather than prolonged trading sessions. In March, the price lost around 40% in just a few hours.
Hours ago, Bitcoin suddenly crashed, and in a few minutes, it tanked from a little less than $10,000 to below $8,000 before recovering to its current trading levels.
At times of the kind, it’s essential for users to be in control of their positions and minimize the losses or maximize the profits, depending on their trading setup. When an exchange is down, however, that’s practically impossible.
Coinbase, the leading US-based cryptocurrency exchange, reportedly went offline again. Numerous users on Twitter complained about the problem, while data shows that there are more than 1,000 reports around the time of the crash. Many even joked that Coinbase is acting like the NYSE circuit breakers that halt trading when legacy markets experience a violent drop.
According to the official website, Coinbase experienced connectivity issues yesterday and delayed sends for ETH and ERC20 tokens because of network congestion. Many of the reports, however, point out that the site was inaccessible.
Back in 2019 in June, Bitcoin lost about 15% in about 15 minutes, reducing its price with about $1,700. At the time, Coinbase experienced technical issues again, and traders were unable to access their funds.
On April 29th this year, the exchange was off again as Bitcoin soared to just below $9,000. These are far from being the only instances when Coinbase has been going offline during times of severe volatility.
Being one of the world’s leading exchanges, issues of the kind should be reduced to a minimum. The industry has come a long way in the last few years, and setbacks of the kind are questionable, to say the least.