Many cryptocurrency exchanges are experiencing huge trading volumes, caused by the recent Tesla-induced hike. The digital asset, which suffered a period of inactivity during its ATH in January, is finally recovering with the $ 1,5 billion investment, which caused excitement in the crypto space.
The tech firm also revealed that it wants to build a system whereby it would accept Bitcoin as a means of payment. People believe that strong buy signals are coming from more institutional investors, leading to more significant price growth. Among the many exchanges, Binance has announced that its internal problems are the cause of the increasing traffic on its platform.
Other exchanges face technical problems
The rush to buy triggered a rally that took the BTC price to over $ 45.000, with many investors rushing to sell the holdings before the price dropped. Experts believe the sell-off would lead to a price correction, wiping out a significant amount of Bitcoin. The increased demand has led to the breakdown of many exchanges such as Binance, Kraken, and Gemini, which are struggling to meet the various needs of their customers with problems on their sites.
The disruptions led to Binance refusing withdrawals to reduce technical issues. Investors want to sell their cryptocurrencies to secure profits, before an inevitable price correction comes into play. However, Binance explained that it influenced the withdrawal option to allow customers to get their money.
Many people have confirmed the investment in Tesla by submitting the latter to the SEC, a US regulatory body that oversees the activities of the securities industry. The filing revealed that the company has bought Bitcoin, valuing up to $ 1,5 billion investment. Fortunately, the announcement drove the price to around $ 45.000 before it stabilized at around $ 43.000.
Binance assures that the technical problems will be resolved
The sudden price increase led to technical problems for the trading platform as it was shared via its Twitter page. The CEO of the company said Musk caused the new traffic various exchanges are getting, as many want to explore the new price growth to secure profits. Zhao said the heavy traffic has led to the technical difficulties some regions face even as the price of the asset rises.
Users of the exchange have expressed their disappointment at not having access to their holdings at a time when the price is soaring. Another internet influencer, KSI, shared his difficulty accessing his funds through his Twitter page. Elon Musk is known for shaking up the cryptocurrency market, mainly due to its volatility.
The investor once wrote #Bitcoin in his Twitter bio, which led to increased traffic on exchanges. Dogecoin is another cryptocurrency that the billionaire had influenced, especially with his controversial tweets about Bitcoin and Dogecoin, which popularly stimulates the digital asset sector.
