Bitcoin Gas Fee Spike: Binance Pauses Withdrawals Again
Binance is the world’s largest cryptocurrency exchange. Binance Pauses Withdrawals Again particularly Bitcoin (BTC) withdrawals twice in the last 12 hours. It sends red indicators over the whole digital asset market.
In the previous 24 hours, the price of Bitcoin has decreased by more than 2%. However, The CEO of Binance, Changpeng Zhao (CZ), showed up to address the matter.
Key Takeaways:
- In the previous 12 hours, two times Binance stopped Bitcoin withdrawal.
- Bitcoin price fell 2% in the previous 24 hours.
- The increase in the gas price is the issue of the bull market.
- The Gas prices rise due to the interruption in the current currency.
- Binance replaced Bitcoin withdrawal transactions with increased fees to address the withdrawal concern.
Binance has stopped accepting withdrawals of Bitcoin due to a high number of remaining transactions, as stated in a recent report. It highlighted how many large pending transactions are present there.
Binance Pauses Withdrawals Again
However, the exchange didn’t expect an increase in the gas fees of the Bitcoin network. It claimed that its staff work to confirm all the remaining transactions.
CZ recently commented on the rising gas prices due to the current interruption. He said that customers would complain as prices vary and rise, transactions become difficult, and fees rise.
But he concluded that the entire gas price increase was a problem of a bull market. Because it is still less expensive than fiat currency, Binance urged the market to see the bright lining.
Binance replaced upcoming Bitcoin withdrawal transactions with increased fees to address the withdrawal concerns. The purpose of doing that was to have mining pools pick it up.
Crypto Influencers & Platforms’ Reaction to Binance Pauses Withdrawals Again
Crypto News (CoinGape) took to Twitter to announce that the CEO of Binance CZ addressed issues with the bull market and bitcoin withdrawals.
Crypto411 took to Twitter to announce that Binance momentarily stopped allowing users to withdraw Bitcoin (BTC), sending red indices over the entire digital asset market.
John Morgan took to Twitter to announce that Because there were so many remaining transactions, Binance stopped accepting Bitcoin withdrawals.
Do You Know?
- On May 20th, 2023, Binance, one of the most popular cryptocurrency exchanges, temporarily paused withdrawals for the second time in 12 hours due to a sudden spike in Bitcoin gas fees.
- This was the second time that Binance halted withdrawals in such a short period of time, as the previous occasion was on April 29th of the same year.
- The sudden surge in Bitcoin gas fees was caused by a rapid increase in the demand for transactions on the Ethereum blockchain.
- Binance had to temporarily disable withdrawals in order to protect its users from any potential losses associated with the high fees.
- Although the issue was resolved shortly afterward, Binance has since taken a number of steps to ensure that similar issues do not arise in the future, such as increasing their gas fee limit.
Crux:
In the previous 24 hours, the Bitcoin price falls 2%. The Binance stopped the withdrawal of bitcoins twice in the last 12 hours. Binance said that the increase in the gas price is due to the interruption in the current currency situation. Binance overcomes the withdrawal Bitcoin transaction issue with increasing gas prices.