Poloniex, one of the notable crypto exchanges out there, has gone offline, with Bitcoin already setting its sights on a new all-time-high for the currency.
Apologies With No Hard Explanation
The exchange’s customer support, ever informative as they are, explained that an unexpected issue has caused Poloniex to be rendered unavailable. In the tweet issued on Friday, the exchange assured the public that this issue was being investigated, promising to keep the public updated throughout the process.
Poloniex is currently unavailable due to an unexpected issue. We are investigating the issue and will keep you updated here throughout. Thank you for your patience
— Poloniex Customer Support (@PoloSupport) November 20, 2020
Bitcoin has seen a staggering upward swing in its price action through these recent weeks, catching the eye of institutional players while doing so. With this massive spike in traffic, crypto exchanges tend to strain under it, sometimes even buckling. After the exchange goes down, traders are locked out of doing business until the matter resolves.
Even The Largest Roads Can Get Clogged
While unwanted, an exchange going down due to a massive surge in traffic happens, and has happened with big names like Coinbase and BitMEX in the past. This was especially prevalent during the market collapse back in march, where staggering levels of volatility boosted volumes to incredible heights.
In a follow-up tweet, Poloniex highlighted that it was officially out of maintenance mode, with many of its services slowly coming back into play. First was the margin and spot markets, albeit on a post-only mode, then the futures contract trading made a comeback.
The Mystical $20K Bitcoin Very Close
Bitcoin, as it stands now, is a few simple steps away from reaching its all-time high of just shy of $20,000. The year 2020, with all of its chaos and misfortune, has caused many eyes to focus on Bitcoin as a financial asset. As a result of its qualities and the trying times of 2020, big names like Square, Paul Tudor Jones, and Microstrategy have all piled into the Bitcoin hype train, buying sizable holdings.
This trend extends to general institutions, as well, with institutional players holding significant amounts of Bitcoin. As a result, it was shown that only 3.4 million BTC is up for grabs for regular traders.
As it stands now, no real response was given as to what the reason was for the exchange outage, with Poloniex not seeming particularly keen on showing the pu4blic the truth.
With any luck, Bitcoin will go up to reach a new all-time high. IN the current climate, this could potentially cement its position for institutions, which would increase mainstream integration significantly.