Cryptocurrency markets have been highly volatile today, which has created a lot of frenzy in the traders, thereby kicking off the trading volumes on the various exchanges. The recent GameStop and Dogecoin incident and fluctuating price of Bitcoin has stirred crypto markets.
Binance has said that it is under stress, which forced the exchange to stop withdrawals for some time on Friday.
Binance Suspended Withdrawals Temporarily
As reported by Bloomberg, the Chief Executive Officer of Binance Changpend Zhao noted that there had been a sudden surge in the trade volumes and new user registrations on the Binance platform, which has overwhelmed the system. As the trading activity surged to gigantic numbers, the Binance systems were overstressed, and the exchange team had to resort to halting the operations for some time. As per the CEO, “Binance was under Stress’ so they suspended withdrawals for some time. Recently GameStop incident created much furor in the crypto circles.
Following the GameStop frenzy, which was initiated by a subreddit group r/Wall-Streeters’, another group named SatoshiStreetBets campaigned for making Dogecoin the crypto equivalent of GameStop. The trading volumes started to grow at a parabolic rate, and Binance noted that it ran out of Dogecoin addresses.
Recently Elon Musk tweeted a picture of Dog on a magazine cover in support of Dogecoin, after which the price of token surged immediately. Zhao said that the Binance system could not generate new Dogecoin addresses to match the incoming users. The Tesla CEO has talked about Dogecoin on several occasions giving a massive surge to its token. After the recent Tweet, Dogecoin began trending on search engines and social media as well. In another Twitter tweet, Elon Musk pumped discussions around Bitcoin. He changed his Twitter bio to #Bitcoin and also tweeted that “in retrospect, this was inevitable’, leaving followers thinking if he is considering buying Bitcoin. The crypto observers instantly noted the Bitcoin reference on his Twitter bio. The price of Bitcoin also rallied immediately after the Tweet.
Binance halted the withdrawals for a while on Friday; however, later informed the users that the systems are up again and withdrawals are restarted.
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