At last, Bitcoin has broken the $ 20k resistance level. The record-breaking price caused massive traffic on many crypto exchange platforms like Binance and Coinbase.
Price All-Time High Case Issues on Binance
For weeks now, many crypto enthusiasts have been hoping that the price of bitcoin would scale the $ 20k resistance barrier. That record was broken recently, as bitcoin (BTC) has not only broken the $ 20k resistance but also gone as high as over $ 23k within the last 24 hours.
As a result of this all-time high price (ATH), crypto exchanges worldwide saw a huge surge in their traffic. Even some of the biggest and most popular platforms were overwhelmed with the amount of traffic they were able to pull within this time. Binance and Coinbase, in particular, had the most traffic, which caused their platforms to see some problems.
Binance’s chief operating officer, Changpeng Zhao (CZ), in a tweets, he told users of his platform that the exchange was currently experiencing a scaling issue that was going to be fixed immediately. According to him, the platform underestimated the demand for the crypto asset, which led to difficulties for its trading exchange.
To mitigate against any such issues happening in the future, he added that the company is adding “many more servers.”
Still some latency issues here and there. Working on it, everything on deck. 🙏
Bitcoin goes up 5%, traffic goes up 30x. https://t.co/lxSAX4lx3B
– CZ Binance (@cz_binance) December 16, 2020
Zhao also noted that Binance is experiencing some latency issues, but the exchange is doing its best to eliminate the problem. He went on to confirm that the traffic is not unusual because whenever the price of the coin moves at least 5%, there is always a surge in traffic.
Coinbase Also Proves Issues
Coinbase also experienced issues similar to the one facing Binance. The company did announcement about this issue and went on to solve the problem almost immediately.
Although Binance’s history was one-off, Coinbase has a history of recurring issues on its platform that it usually tags as “connectivity issues.”
The company’s CEO, Brian Armstrong, has made it known several times that the company is working to eliminate any such exchange problem.
Apparently, the company tends to experience technical issues when there is a higher engagement rate on its website.
What do you think of the large crypto exchanges that experience problems when crypto prices are running high? Let us know what you think of this topic in the comments section below.
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