TL;DR
- Coinbase users see zero balance in their accounts after the crypto trading app suffers gitch.
- Many believe that the outage was fueled by heightened traffic on the exchange caused by Bitcoin’s rally, blasting up to $63,000.
Coinbase Trading App Crash Amid Bitcoin Surge
Crypto exchange Coinbase has seemingly crashed following the Bitcoin’s (BTC) pump on Feb. 28, 2024.
Its crypto trading app suffered a glitch that left many users seeing a $0 balance when they opened their accounts.
The exchange also struggles with delayed Ethereum (ETH) and ERC-20 transactions.
Coinbase was responsive, notifying its users that they were aware of the issue. And currently investigating the cause.
We know that some users may see a zero balance across their Coinbase accounts & may experience errors in buying or selling. Our team is investigating this &will provide an update shortly. Your assets are safe.
Coinbase X post stated.
The announcement status about the glitches has alleviated some of the rising negative concerns from rampant social media speculation.
Bitcoin lost about $2,800, which is a downturn of 4% in a matter of minutes shortly after reports of the outage spread.
User Speculation on Coinbase Outage
Coinbase users started reporting about the glitches after Bitcoin blasted past $60,000 for the first time since Nov. 2021.
BTC price has risen in the wake of spot bitcoin ETFs, rallying by 42% in Feb. 2024. The most significant monthly gain the cryptocurrency has seen since Dec.2020, according to Reuters.
Many users took to social media to speculate the reason for the outage. Some believed this rally could have fuelled renewed interest in apps like Coinbase.
With dormant users returning to sell, buy, and hold digital assets in their wallets.
The rapid increase in demand from more casual crypto investors may have contributed to the app’s outage.
Coinbase CEO Brian Armstrong has admitted that its crypto trading app is experiencing issues due to high traffic.
Other users suggested that the outage may signify retail returning to the market and opening new accounts.
They were backing their sentiments with Coinbase outages in 2017 that new users caused during the bull run.
A few others raised concerns about exchange hacking, while others jokingly called it a rug pull by Coinbase.
With no official reason for the outage on the platform, users will continue to speculate about the cause.
But it’s more evident that Coinbase’s crash was a confirmation of the bull market.
Is a Bitcoin Bull Run Coming?
Bitcoin, Ethereum, and other altcoins registered enormous gains on Feb. 28, 2024. The green rally was part of the ongoing trend on the market throughout the week.
Judging by sentiments from market watchers, we’re only in the early phase of a bitcoin bull market.
They believe the Bitcoin rally will last for the better part of 2025. They’re confident Bitcoin’s price will continue to increase—as it has done so in the wake of the previous Bitcoin halvings.
The sharp decrease in the supply of BTC coming to the market will play an essential role in catalyzing a bull market.
If this rally continues, BTC price may blast past its all-time high of about $69,000 before 2024. Users should also buckle up for some massive turbulence along the way.
Usually, there is always a more significant correction in the market in the middle of a melt-up where asset prices go up before parabolically crashing.
Will Bitcoin’s price continue to rise throughout 2024?
Julia Zakharchuk
Julia is a professional crypto and blockchain writer known for her insightful YouTube channel "MoneyFest." She showcases her dynamic presentation skills as a host and moderator at blockchain conferences. Julia drives also business development at ChainUp and advises UNITBOX, an innovative NFT renting protocol. With her exceptional expertise, Julia is a highly valued industry contributor and is set to make a lasting impact. We at Coinweb are lucky to have her on board.
