Can Coinbase Run with the Crypto Bulls? Network Congestion Delays Bitcoin Withdrawals
Lucas Cacioli Dec 01, 2020 06:10
Coinbase has again experienced technical difficulties during heavy crypto trading, this time announcing delays in BTC withdrawals. Can the exchange keep up with the bull run?
Over the last month, Coinbase has reported several issues with its services on the back of Bitcoin’s historic price action, this time exchange users were faced with delays on their BTC withdrawals due to network congestion. As the crypto bulls push BTC to new all-time highs will the leading US exchange be able to keep up?
As the Bitcoin price surged to a new all-time high, Coinbase once again struggled with network congestion delaying its users' BTC withdrawals. The US-based exchange’s services have notably suffered through heavy crypto trading periods throughout the year—most recently on Nov. 26 when the leading US crypto exchange experienced another outage of its website and mobile apps.
The delays began as Bitcoin surpassed its previous all-time high of $19,783 and the BTC price surged to a new record of $19,857. The crypto’s price has now cooled down and is trading at $19,411.89, up 4.43% at the time of writing.
According to industry experts like Gemini crypto exchange founder Tyler Winklevoss, the Bitcoin price has a lot more ground to cover over the next ten years and could replace gold as a traditional store of wealth, predicting a BTC price as high as $500,000. At current price levels, the Bitcoin billionaire thinks “(BTC) it's a hold or at least if you don't have any, it's a buy opportunity because we think there's a 25x from here."
If Coinbase is struggling with the Bitcoin network activity now—at what industry experts believe could still be just the beginning—then how will the major United States exchange cope when the crypto bulls pick up the pace in the next few years?
Coinbase Goes Down During XRP Surge
Last week as Ripple’s token took the crypto market to new heights for 2020, Coinbase again experienced technical difficulties that knocked down the XRP price by 30%.
As the XRP price surged recording 100% increases on certain crypto exchanges, Ripple’s token hit $0.90 in price value on Coinbase. The bullish rally on the crypto exchange appeared likely to have been triggered by Coinbase users.
However, the victory was short-lived as XRP plummeted by 30% following a malfunction on the trading platform. The outage has been greeted by outrage, with many taking to Twitter to express their anger.
One crypto enthusiast tweeted:
“Coinbase goes down again. Lmao. Every single time.”
Others have previously called for legal action, signaling that there is something suspicious about how the crypto exchange shuts down when crypto markets are looking up. A crypto influencer tweeted:
“Coincidence that everytime we have huge market moves @coinbase shuts down? @SEC_Enforcement seriously investigate that is fishy. We need some transparency on this.”
With the crypto market on fire and price bulls charging, many US crypto traders will be relying on Coinbase to stay in the race. In the weeks to come the crypto community will be holding the leading exchange under even more intense scrutiny than ever before.
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