Coinbase, one of the largest exchanges for Bitcoin and cryptocurrencies, faced a major outage today, coinciding with a surge in Bitcoin's value that led to numerous account issues for users. 

This interruption came during a period of heightened trading activity triggered by Bitcoin's price spike, momentarily exceeding $64,000.

Coinbase CEO Brian Armstrong pointed to an unexpectedly "large surge of traffic" as the reason behind the outage, which put a strain on the exchange's infrastructure. 

The sudden increase in users trying to buy, sell, or trade Bitcoin led to server overloads at Coinbase, causing connectivity issues for a wide range of customers. 

Coinbase acknowledged the problem, noting that some users might observe a zero balance in their accounts or encounter transaction errors. 

The company reassured that it was actively investigating the issue and would provide an update soon, emphasizing that user assets remained secure.

After the outage, Bitcoin's price took a significant hit, dropping from around $64,000 to approximately $58,700, erasing most of the day's gains. Coinbase has faced similar issues during times of high market volatility in the past, which has led to criticism from both users and industry experts.

However, Bitcoin's value has shown resilience, bouncing back to over $60,000, indicating a continued positive trend fueled by increasing interest from institutional investors and the broader market.

As Coinbase aims to return to full operation, this event highlights the operational difficulties faced by large Bitcoin exchanges and underscores the need for a strong infrastructure to provide reliable services to users without interruptions.

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