Why Poloniex / Kraken Crashed Yesterday? Coins Crashed at the Same Time!
Yesterday the weekend came to a very unpleasant end for the traders amongst us. A weekend of craziness at the exchanges in which many coins increased in value tremendously, Poloniex started to have issues at the same time many of these coins started to fall back to earth.
Not only Poloniex had issues, also Kraken had issues. Whilst the former mentioned on their Twitter page "Site will be back in a few minutes. All coins are safe"; Kraken broadcasted the message they were experiencing an extensive DDOS attack. Fact is that Poloniex had already issues before there servers went completely out and they required many more minutes than they actually claimed which resulted in the inability to trade even before the big drops happened. At least, that was the case with me, and have been reading many messages with the same experience in Poloniex trollbox.
Poloniex Twitter message...
https://twitter.com/Poloniex/status/861352270788780032
Kraken Twitter message...
https://twitter.com/krakenfx/status/861354304342417408
This Twitter message from someone else showing the issues started sooner then the complete outage at Poloniex...
https://twitter.com/GaliciaCastelao/status/861331881786298370
The most logical answer would be these exchanges could not handle the number of orders when the coins started to drop. But is this true? Did they really had to handle more transactions then at any given point in time the entire Sunday? Poloniex did not have any problems during the day, when also a crazy number of transactions were processed while many coins (including Ripple, Stellar, LTC, XEM, Steem) where gaining value.
Even in case it were the number of orders that needed to be processed that caused the failures at Poloniex, due to Poloniex being one of the largest exchanges in the cryptoworld, they were likely (partially) responsible for the crash of many of the coins.
I'm not a conspiracy believer, but could the drop of the coins had something to do with the exchanges playing a game? I for sure cannot rule this out. Many people lost a lot of money, especially on Stellar since this coin reached more than 4.500 Satoshi in the late evening time (CET) and lost half of its value in just 10 minutes while trading was not possible for most of the traders at Poloniex; This coin never bounced back. Also not that even before the devaluation of all these coins started, Poloniex had problems already.
What do you think? Are al these Exchanges to be trusted?
Another very important question:
What exchange do you recommend? It must be Stable and Trusted exchanges!
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These things happen :-)
But it should not!!
Bad luck for U.
Stop-loss also didn't kick in??
Resteem+vote!
Thank you!
If you mean, crash of a system...well, in the professional financial world this does not happen every time they need to handle some load. And if the systems cannot handle it, the exchange shall stop trading, not continue with only those that do still have working connections. Also an exchange could decide to roll back transactions. But POLO did not do all of this. This is just bad performance by an exchange, and apparently not an incentive to extend their capacity of their systems. Not even a word about that, not even a excuse message on their Twitter feed.
Nope
What exchanges you use? I noticed today again with POLO slow response times when coins get into volume trading. Any exchange you can advise?
Amateurs hahaha :-)
He Ed, I mostly use Bittrex, never had problems there.
In the past Cryptsy, but you know what happend there :-)
I also use poloniex, c-cex.com, btc-e.com, virwox and bter.com sporadically.
Bittrex is for me the best for now for altcoin trading.
Thank YOU! I'll check out Bittrex for sure, got that recommendation by others as well, and some were telling me they never had an outage or slow performance. So for sure, to be checked out!
I got myself a usr/pwd for Bittrex. Now it says my account is allowed a maximum of 1 BTC withdrawal. Is that true? And they say in order to upgrade to basic account, I need to give all my details, like name, date of birth, address. Do I need that in case I do not want to cash in/out fiat? Does this basic account give me more BTC out? Or can I withdraw another coin in unlimited amount but not BTC? Looking fwd to your feedback, would be very helpful.
BTW; Poloniex is damn sh*t, again lots and lots of troubles with the interfaces (and more I suppose). I need to go away from that place asap.
For cash withdrawls you probably must verify yourself.
I send my BTC to Virwox.com from Bittrex and buy euro's to put on my Skrill.com account so I can withdraw at any ATM in Netherlands with debit card.
You have to read there policy, take your time to do that so there will be no suprises :-)
hahaha :-)
I am only on bittrex
Bittrex works great, at the moment poloniex is overloaded again :-)
I've seen that kind of down-cascade several times on normal tradings too. That is the risk of the stoplosses. If big whales want to squeeze them out, they do :(
Seen indeed some manipulations going on, big whales driving prices up and down. But that does not mean exchanges should stop working. When believing in conspiracies, exchanges are working together with the whales; let the exchange crash, and the prices are back to square one, cheap for the whales to buy in again. But that said, I general do not believe in conspiracy theories. But I do know these exchanges are not engineered how they should have been engineered :(
transfer all fund to wallets!!!
But then trading is hard to do :) Or you have a solution for that?
Ya, I am thinking on that problem too. Everytime you send them there and back, you pay a fee.... :( For daytrading really an expensive thing.
Fees are still quite ok, but for that fee they need to give a good and solid service, and some excuses are in order when they f*ck again. also today POLO is giving up when some coin goes up/down a but quicker than normal.
I really think on a cold storage like the trezor or ledget nano S. Unfortunately sold out here. But I think there will come other hardware wallets like them very soon.
Can they hold any coin?
So far I'm all-in with my crypto for trading, small funds in total, but I'm learning how I would like to trade and if I make that somehow sustainable with some de-risk to how I trade. When I figured that out, I may like to go in with good money. Today I do super short term trades, ie not useful to have the funds in an external wallet.
the only problem is that Kraken, Poloniex, etc. are third parties that have the private key to your wallets on the exchange...
I know; Luckily my finds I trade with I can loose without having 1ct of pain :) When I increase my funds, then use some cold storage, then I need to apply some mid/long term trading method.
Oh no ! One day offline and those news 🙀
Getting myself a registration with their competitor, Bittrex. Poloniex is again breaking down, and NOOO, nothing from them, not even an excuse for their poor service they charge 0,25% tx fee for all trades in and out!
All my trading friends just told me bittrex is much better