Coinbase Suffers Service Outage During Major Bitcoin Rally
On September 21, Coinbase experienced a widespread service outage that prevented users from trading or viewing balances during a significant cryptocurrency rally. The incident occurred as Bitcoin surged above $85,000 for the first time in eight months and reached nearly $86,000. Nearly $919 million in short positions were liquidated, with over half tied to Bitcoin. Coinbase restored services approximately 70 minutes after acknowledging the issue but did not disclose its cause. The outage disrupted trading on Coinbase's website, mobile app, and Advanced Trade platform during a critical period of market volatility. The exchange reported customer funds remained secure throughout the incident. COIN shares rose by 3.5% that day despite the disruption. Traders were unable to react in real time as Bitcoin continued its upward trajectory. Coinbase's outage highlights risks associated with relying on centralized exchanges during high-volatility periods, especially when leveraged positions are at risk of liquidation.
Tickers: $COIN
Topics: Bitcoin price surge cryptocurrency exchange outage short liquidations