Due to the increased demand for Bitcoin subsequent to its price surge, Coinbase was impacted by a technical issue on Wednesday.
Coinbase encountered a technical issue on Wednesday due to the substantial demand generated by the surge in Bitcoin prices. Numerous Coinbase app users reported seeing an empty balance in their accounts. Coinbase responded to the entire malfunction by stating that the organization was “investigating” the situation.
Coinbase Experiences A Technical Glitch
As reported by CNBC, technical difficulties with the Coinbase app on Wednesday caused many users to perceive a zero value when they accessed their accounts.
“We acknowledge that certain users might encounter issues when purchasing or selling on Coinbase and see a zero balance across all of their accounts,” Coinbase said in a statement to CNBC. “Our staff is looking into this matter and will bring you an update soon. The things you own are secure.”,
The application error on Coinbase occurred as the price of Bitcoin had risen to $60,000. The application potentially experienced a substantial influx of users and intense traffic due to the price increase.
At $60,000, Bitcoin is priced significantly lower than when it peaked at $68.6K twenty-seven months ago. Bitcoin price appreciation is a result of increased inflows into Bitcoin ETFs.
Spot Bitcoin ETFs are off to an outstanding start to the week, with substantial inflows of $577 million and $520 million on Monday and Tuesday, respectively.
A substantial inflow occurred in the form of $520 million invested in the BlackRock iShares Bitcoin ETF, which contributed to the upward movement of the Bitcoin price to $60,000.
Coinbase informed its users, as reported by CNBC, ”we’re beginning to see improvements in customer trading” though because of increased traffic, “some customers may still see login errors, sends, receives and with some payment methods.”
For several days, exchanges and Bitcoin service providers will almost certainly experience enormous traffic volumes due to the current price surge. As a result of the current bull run, market participants will likely shift their attention to sustaining the system to accommodate the enormous traffic demand.
