Bitcoin (BTC) surged past $111,000 during the early hours of the Asian session on Thursday. However, investors may have seen this coming, amid a familiar twist- Coinbase went down.
As the major US exchange experienced temporary connectivity issues, crypto Twitter lit up with predictions of a massive rally that seemed to materialize in real time.
Coinbase Downtime Fuels Bullish Frenzy
Reports on X (Twitter) indicate Coinbase Exchange suffered downtime in the early hours of Thursday. However, contrary to the typical reaction among investors, crypto market participants remained optimistic whenever such incidents happened.
“Coinbase is down. OGs know what this means. Full…Send is loading,” wrote CryptoCurb, a popular user on X.
The user joined a long list of community members who captured the moment’s meme-like energy, and the enthusiasm quickly circulated across crypto circles.
Sentiment was not panic but excitement, with the Bitcoin price reclaiming the $111,000 psychological level within hours.
As of this writing, the pioneer crypto traded for $111,172, up nearly 2.5% in the last 24 hours. It reached its new all-time high (ATH) on the Binance exchange after topping out at $111,999.
Bitcoin (BTC) Price Performance. Source: BeInCrypto
Meanwhile, Coinbase employees also joined the fray. Viktor Bunin, a protocol specialist at the company, replied with tongue-in-cheek optimism.
The market backdrop supported the enthusiasm, with the surge coming only hours after the FOMC minutes on Wednesday signaled a potential rate cut in the July 30 meeting.
Similarly, on July 9 alone, Bitcoin spot ETFs saw $218 million in net inflows, marking the fifth straight day of institutional accumulation. Ethereum was not far behind, with $211 million in net inflows and growing attention from US asset managers.
“Coinbase is down, while BTC has $4 billion volume in ETFs today. Absolutely mental! Looks like a huge send is inbound! Strap up,” another user chimed.
Bitcoin ETF volume and daily net inflows. Source: SoSoValue
Adding to the intrigue, Coinbase posted a cryptic tweet mid-downtime, displaying a lone Bitcoin symbol with no explanation or caption. For seasoned traders, the signal was clear.
Skeptics, however, questioned the timing, speculating that it is often a calculated move by Coinbase whenever there is a surge in activity.
“Coinbase always ‘goes down’ when there is a little bit of activity. You have to think they do it intentionally… After all this time and the resources they have, you cannot tell me they don’t have an IT team capable of keeping it running,” one user challenged.
Still, recurring downtime has become part of Coinbase’s bull market folklore amid coinciding surges in activity. For many traders, Coinbase glitches are now viewed as bullish omens rather than infrastructure failures.
Sentiment around Bitcoin appears more reflexive than ever. Whether coincidence or not, the reaction to the exchange’s latest stumble reflects a market hungry for further upside.
