(UPDATED) this is the problem in a nutshell: in iOS I want to read a large file, do some processing on it (in this particular case encode as Base64 string() and save to a temp file on the device. I set up an NSInputStream to read from a file, then in
(void)stream:(NSStream *)stream handleEvent:(NSStreamEvent)eventCode
I'm doing most of the work. For some reason, sometimes I can see the NSInputStream just stops working. I know because I have a line
NSLog(@"stream %@ got event %x", stream, (unsigned)eventCode);
in the beginning of (void)stream:(NSStream *)stream handleEvent:(NSStreamEvent)eventCode and sometimes I would just see the output 
stream <__NSCFInputStream: 0x1f020b00> got event 2
(which corresponds to the event NSStreamEventHasBytesAvailable) and then nothing afterwards. Not event 10, which corresponds to NSStreamEventEndEncountered, not an error event, nothing! And also sometimes I even get a EXC_BAD_ACCESS exception which I have no idea at the moment how to debug. Any help would be appreciated.
Here is the implementation. Everything starts when I hit a "submit" button, which triggers:
- (IBAction)submit:(id)sender {     
    [p_spinner startAnimating];    
    [self performSelector: @selector(sendData)
           withObject: nil
           afterDelay: 0];   
}
Here is sendData:
-(void)sendData{
    ...
    _tempFilePath = ... ;
    [[NSFileManager defaultManager] createFileAtPath:_tempFilePath contents:nil attributes:nil];
    [self setUpStreamsForInputFile: [self.p_mediaURL path] outputFile:_tempFilePath];
    [p_spinner stopAnimating];
    //Pop back to previous VC
    [self.navigationController popViewControllerAnimated:NO] ;
}
Here is setUpStreamsForInputFile called above:
- (void)setUpStreamsForInputFile:(NSString *)inpath outputFile:(NSString *)outpath  {
    self.p_iStream = [[NSInputStream alloc] initWithFileAtPath:inpath];
    [p_iStream setDelegate:self];
    [p_iStream scheduleInRunLoop:[NSRunLoop currentRunLoop]
                           forMode:NSDefaultRunLoopMode];
    [p_iStream open];   
}
Finally, this is where most logic occurs:
- (void)stream:(NSStream *)stream handleEvent:(NSStreamEvent)eventCode {
    NSLog(@"stream %@ got event %x", stream, (unsigned)eventCode);
    switch(eventCode) {
        case NSStreamEventHasBytesAvailable:
        {
            if (stream == self.p_iStream){
                if(!_tempMutableData) {
                    _tempMutableData = [NSMutableData data];
                }
                if ([_streamdata length]==0){ //we want to write to the buffer only when it has been emptied by the output stream
                    unsigned int buffer_len = 24000;//read in chunks of 24000
                    uint8_t buf[buffer_len];
                    unsigned int len = 0;
                    len = [p_iStream read:buf maxLength:buffer_len];
                    if(len) {
                        [_tempMutableData appendBytes:(const void *)buf length:len];
                        NSString* base64encData = [Base64 encodeBase64WithData:_tempMutableData];
                        _streamdata = [base64encData dataUsingEncoding:NSUTF8StringEncoding];  //encode the data as Base64 string
                        [_tempFileHandle writeData:_streamdata];//write the data
                        [_tempFileHandle seekToEndOfFile];// and move to the end
                        _tempMutableData = [NSMutableData data]; //reset mutable data buffer 
                        _streamdata = [[NSData alloc] init]; //release the data buffer
                    } 
                }
            }
            break;
        case NSStreamEventEndEncountered:
        {
            [stream close];
            [stream removeFromRunLoop:[NSRunLoop currentRunLoop]
                              forMode:NSDefaultRunLoopMode];
            stream = nil;
            //do some more stuff here...
            ...
            break;
        }
        case NSStreamEventHasSpaceAvailable:
        case NSStreamEventOpenCompleted:
        case NSStreamEventNone:
        {
           ...
        }
        }
        case NSStreamEventErrorOccurred:{
            ...
        }
    }
}
Note: when I posted this first, I was under a wrong impression the issue had something to do with using GCD. As per Rob's answer below I removed the GCD code and the issue persists.
 
     
    