BTC Gains As Bitmex Goes Offline

Over the last one year, Bitcoin Cash has emerged to break through resistance. BTC’s upward surge was happening in a matter of seconds where it gained about $400 dollars instantly.

At this period, BTC gained immediately when Bitmex went offline. The unavailability of Bitmex, a major trading platform has led to panic and complains from users.

On Tuesday evening, bitcoin managed to surpass the resistance mark held for several days. The largest crypto managed to hit the $6,800 mark. During the period, traders were looking forward to major events that would break bitcoin’s resistance mark.

Bitmex went offline for half an hour due to a scheduled maintenance. It later turned to the cancel-only state upon resumption an indication that all was not well.

The firm confirmed that stakeholders experienced difficulties with accessing the system. It attributed the challenges to a DDoS attack.  Trading later resumed at 10 pm but some users remained adamant. During the period, traders could nothing but watch.

Conspiracy theories about the downtimes were all over. Bitmex was accused of locking off users for profit purposes. Despite the lack of evidence, many believe that the firm was responsible.

Critics further argued that with such developments it was evident that we have tampering of bitcoin. This was an example highlighting negative impacts of margin trading. Critics claim that if one exchange dominates the market it will gain by disrupting its own service. Therefore, such firms have no obligations to act in an ethical manner.

However, Bitmex might have been attacked by a third party. The platform might have been a target for the DDoS to tamper with the market. If it happened, then the attackers gained.

Despite the controversy, the resistance level has finally been broken. This is an indication that the $6, 600 level might act as a backing for BTC.

BTC shorts are almost hitting a record high, however, chances are still high that a short squeeze might occur since traders will have to purchase additional BTC to back their positions. Such an incident occurred in April when bitcoin value increased by $1000 within 24 hours.

Experts project that traders will keenly be following market happenings in the next few days. Traders will be looking at different variables with the hope that Bitmex won't go offline.

2 years ago

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