Outages throw a wrench into profit taking
The price of Bitcoin (BTC) continued to soar on Thursday, creating puinhoop among those attempting to buy and sell the cryptocurrency currency due to service trouble at several exchanges.
Te the past 24 hours, Bitcoin surged from around $12,700 up beyond $16,500, a fresh high, before retreating to around $15,500 by mid-morning Pacific Time, spil listed by Coindesk. The fanciful digits sold for a less than $1,000 te January.
On the Total Digital Asset Exchange (GDAX), an cryptocurrency exchange, the price wasgoed at one point overheen $Nineteen,000, a disparity with other exchanges that invited arbitrage profiting from price differences but that proved difficult due to widespread service disruptions.
Coinbase, GDAX, Bitfinex, and kraken all suffered service trouble on Thursday spil buyers and sellers of Bitcoin attempted to participate te the market.
Coinbase’s status pagina reported delays ter outgoing BTC transactions, poor voorstelling, and ID verification problems.
Crypto-cash souk Coinbase coerced to rat out its high rollers to probing US taxmen
GDAX’s status pagina demonstrated ID verification problems te the early morning, followed by vertoning degradations for about an hour.
Bitfinex said it wasgoed “investigating a fresh shove ter the ongoing distributed denial-of-service attack against Bitfinex.”
“There has bot a significant denial of service attack overheen the last few days, but the toneel has bot trading continuously,” a company spokesperson said ter an email to The Register.
kraken said it wasgoed experiencing partially degraded voorstelling.
That’s nothing compared to NiceHash’s apparent loss of $62mn to hackers, who no doubt also noticed Bitcoin’s rising value.
On Twitter, traders groaned they can’t do arbitrage when it takes several hours to send Bitcoin inbetween exchanges. Other complained about being incapable to withdraw BTC.
Of course, not everyone wasgoed shut out. Someone shows up to have sold 14,400 Bitcoin, worth more than $220 million at $15,400 vanaf BTC, the approximate price at the time of the transaction.
Bitcoin’s popularity with miners, traders, and sellers of cryptocurrency picks and shovels hasn’t made it more appealing spel service Steam.
On Wednesday, Steam said it would no longer accept Bitcoin spil payment from subscribers because it has become too volatile to overeenkomst with and because the transaction fees surpassed $20, 100x what they were when the company began accepting Bitcoin.
But elsewhere there’s still enthusiasm. A week ago, the Hong Kong office of entero accounting hard PwC said it has begun accepting Bitcoin spil payment for its advisory services. And a multiplicity of other firms, including Microsoft, Overstock, Wikipedia, and others proceed to welcome BTC.
And spil long spil Bitcoin keeps rising, there will be those willing to overlook the challenges of dealing with the digital currency.