In the middle of the bearish rally of the crypto market, many traders experienced and enjoyed the price value status in Coinmarketcap. The leading Crypto data aggregator, Coinmarketcap experienced a problem and displayed erroneous cryptocurrency prices and market capitalization.
Significantly, the data aggregator confirmed the error on its official Twitter account and stated that it had been resolved. Even after five hours, the global crypto market cap value shows as it surged to 10890% in the last 24-hours. At that time, the trading price of Bitcoin was also reported to be at $67,921 which has poured happiness to traders for the short-term.
Consequently, the bug in CoinMarketCap has led to a perplexed state-of-mind for the traders who were active at the time. On the other hand, it will not only damage the traders but several cryptocurrency exchanges as well.
Weird Price Charts
As previously stated, this issue has pulled many leading cryptocurrency exchanges into the trap, where Coinbase is one among them. Coinbase uses CoinMarketCap as their primary data source, causing a multibillion-dollar domino effect on the industry. Coinbase stated that its platform was also sucked into CoinMarketCap’s debacle, resulting in a spike in trading activity by high-prices.
Moreover, according to Bloomberg, Coinbase stated that their customers have witnessed high prices for “non-tradable” crypto-assets. Meanwhile, users began to spread screenshots of the gains and their unexpectedly higher funds, which led to social media buzz.
Kind of interesting that this rally started exactly at the same time as Coinmarketcap having a pricing bug (roughly 4:25-4:35pm ET)— Adam Cochran (@adamscochran) December 14, 2021
Wonder how many bots are using their API and just started aggro buying on “market movement”. pic.twitter.com/HMpJME71fS
Following the malfunction, the crypto enthusiasts targeted the social media platforms, where Twitter is the prominent one to explode with tweets regarding the flaw. Besides, several crypto fans rushed to Twitter to address the issue of increased trading bot activity. According to the crypto community’s analysis, these trading bots noticed the increased prices on CoinMarketCap, and the market was pushed into aggressive buying on “market movement.”