Binance has temporarily suspended Ethereum withdrawals due to „network congestion.“
A similar incident took place on February 19.
The price of ETH is currently down 23% over the week
This February 23, the exchange of cryptomonnaie Binance announced on Twitter at 9:20 GMT it had „temporarily suspended withdrawals tokens and based on ETH Ethereum due to high network congestion.“
This is the second time in a week that Bitcoin Pro has suspended its Ethereum withdrawals .
“Binance has temporarily suspended withdrawals of tokens based on $ ETH and Ethereum due to severe network congestion.
Please be assured that the funds are safe, and we apologize for any inconvenience caused.
Updates will follow ”.
A similar incident happened on February 19, when Binance also suspended withdrawals from ETH and ERC-20, citing “network congestion” as the same reason.
Binance reassured investors that their “funds are safe,” but provided no further details in the two suspension cases
During the February 19 suspension incident, blockchain analyst Larry Cermak was quick to point out that Ethereum did not appear to be congested and had found itself unable to withdraw ETH even before the announcement of the suspension.
At that time, the price of Ethereum (ETH) was at its highest level yet and was on the verge of breaking the $ 2,000 mark . Binance Coin ( BNB ) was also on the rise. However, due to this suspension, the price of ETH stagnated just below the $ 2,000 mark, while BNB jumped $ 60 during the same period.
This fueled speculation on the reasons for this suspension, including the possibility of a BNB “ wash trading ”, or market manipulation.
Ethereum’s gas charges were the subject of controversy in 2021. Knowing that transaction costs are directly proportional to network congestion, they often vary significantly.
Recently, Ethereum’s gas charges have indeed skyrocketed, with some sources reporting an average charge of $ 30.
Ethereum is currently trading at $ 1,492 after hitting an all-time high of $ 2,040 on February 20. ETH has fallen almost 24% since that peak and is back to its highest levels of early 2018.
A market-wide crash has led to huge sell-offs among crypto-investors. More than $ 5.5 billion in positions have been liquidated in the past 24 hours , according to data from Bybt.