Paradex Blockchain Rollback: Bitcoin Price Plummets to $0 Due to Glitch

Written by Ohris M. Greyoon, Blockchain & Crypto Expert

Source: Coinmarketcap

Updated: Jan 19 2026

STRK0%

BTC+0.674%

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Technical Failure Impact: On March 21, 2025, Paradex experienced a database migration error that displayed Bitcoin's price as $0, triggering forced liquidations of thousands of leveraged trading positions, exposing the fragility of decentralized finance systems.
Complex Rollback Measures: The Paradex team must coordinate with Starknet validators to execute a full blockchain rollback to restore all transactions during the faulty period, ensuring no user funds are permanently lost or duplicated.
Severe User Losses: Users lost collateral due to automatic liquidations, with penalties typically ranging from 5-10%, and traders holding long-term positions were forced out at a false $0 price, significantly eroding trust in the platform.
Regulatory Pressure on Industry: This incident occurs amid increased global regulatory scrutiny on cryptocurrency markets, highlighting consumer protection issues in decentralized systems and potentially prompting regulators to advocate for stricter compliance frameworks.

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Technical Analysis for STRK

Technical Sentiment Analysis for Starknet (STRK). As of , Starknet (STRK) is exhibiting a Neutral technical sentiment. Our proprietary analysis, which aggregates 7 technical signals, shows that 4 indicators are flashing buy, while 3 are indicating sell.

Momentum Indicators: RSI, MACD & Overbought/Oversold Status. Currently, the Relative Strength Index (RSI) for STRK stands at -, which suggests a Neutral condition. Meanwhile, the MACD (12, 26) indicator is at -, providing a Neutral signal for short-term momentum. Other oscillators like the Stochastic Oscillator at - and the Commodity Channel Index (CCI) at - further confirm a - outlook for the crypto.

Support, Resistance & Moving Averages. From a structural perspective, STRK is trading below its 60-day moving average of $- and below its 200-day long-term moving average of $-. Key price levels to watch include the immediate resistance at $- and strong support at $-. A break above $- could signal a bull continuation, while falling below $- may test the next Fibonacci floor at $-.

Starknet (STRK) Support & Resistance Level

Name	S3	S2	S1	Pivot Points	R1	R2	R3
Classic	0.0205	0.0244	0.0283	0.0322	0.0361	0.04	0.0439
Fibonacci	0.0244	0.0274	0.0292	0.0322	0.0352	0.037	0.04

About STRK

StarkNet is a permissionless decentralized Validity-Rollup (also known as a “ZK-Rollup”). It operates as an L2 network over Ethereum, enabling any dApp to achieve unlimited scale for its computation – without compromising Ethereum’s composability and security, thanks to StarkNet’s reliance on the safest and most scalable cryptographic proof system – STARK.StarkNet Contracts and the StarkNet OS are written in Cairo – supporting the deployment and scaling of any use case, whatever the business logic.

About the author

Ohris M. Greyoon

Ohris M. Greyoon holds a Master’s in Computer Science from MIT and has 10 years of experience in blockchain technology and cryptocurrency markets. A pioneer in decentralized finance (DeFi) analysis, he leads Intellectia’s Crypto News, offering cutting-edge insights into digital assets.

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