Coinbase has a capacity issue. Many years ago, users pointed out that when Bitcoin and other cryptocurrency assets are particularly volatile, the stock market sometimes crashes without warning. These breaks can prevent customers from buying or selling cryptocurrencies and be detrimental to traders.
Between March and November, Oslo Børs registered nine different issues that resulted in different types of interruptions or connection problems, although the direct impact on the customer is in some cases unclear. Problems seem to vary in severity. The biggest status update that Coinbase has released at this time is: “Coinbase.com is having trouble connecting.”
According to a 30-minute price light on TradingView.com, four of these cases coincided with unstable price movements in bitcoin.
On April 29, Coinbase reported connectivity issues. In a later published status update, Coinbase.com had issues that day from 10:00 to 12:30 PDT. The Bitcoin price during this time changed by 4.54%. Cointelegraph previously reported on the platform’s difficulties that arose that day.
On May 9, Coinbase alerted the public to another issue and said again, “Coinbase.com has connection issues.” This time, the price of Bitcoin changed 15.26% between 17:00 and 18:00 PST – a time frame showing difficulties per case, which also included additional details that were released a few days later.
The third case, which involved a noticeable bitcoin price move, happened on June 1, when Coinbase again alerted the public about connection problems. This incident seems to have affected users between 16:00 and 17:00 PT, and Bitcoin’s price has changed 6.94% during that period. A few days after this incident, some Coinbase customers left the platform, judging by Bitcoin withdrawals reported by Cointelegraph on June 9.
Coinbase also had a new connection problem on July 28 between 02.00 and 04.30 PT, when the price of Bitcoin climbed 3.82%.
However, not all Coinbase releases coincided with the days of large BTC price fluctuations. Coinbase alerted the public about the concerns on November 16 and said “The website and mobile apps will not load.” Bitcoin gained only about 1.72% in value in a difficult time window, although it was enough to cause even more revolt in the trading community. Connection problems also occurred on May 28, July 17, August 18 and November 11, when the price of bitcoin fell below 3% during each event.
Coinbase did not answer outcome questions. However, CEO Brian Armstrong tweeted that Coinbase is committed to solving the problems.
BitMEX cryptocurrency derivative exchanges also have performance issues during significant fluctuations in bitcoin prices.