Bitcoin Cash is just over two weeks into existence since the hard fork at the beginning of the month and I would like to analyze its status and possible future.
Bitcoin Cash has positioned itself in the fourth position in terms of market capitalization with 4.1 million Euros. In such a short time of life, it is certainly a record of welcome and endurance after the storm.
Definitely, the community wants to give it a chance although at the moment it continues betting by Bitcoin like a safe haven, which is reaching recently new records. The percentage of profit obtained by mining Bitcoin Cash continues to grow day by day and the distance from Bitcoin is decreasing.
Bitcoin’s network is still saturated making transactions take longer than one hour to be validated and the price of fees increased. There’s a flow of new capital entering continuously, making every time the problem worse and worse. This situation could be more severe if Segwit2x would not be activated in November to increase the size of the block to 2Mb.
Some competitors like Ethereum have benefited from this situation as we can see in this tweet from Vitalik Buterin, creator of Ethereum:
Ethereum has achieved a record in number of transactions in 24 hours thanks to the speed of the network and the low cost of transaction fees. If the Bitcoin community wants to stay in the market and not left behind, they will have to use the new tool at hand, Bitcoin Cash, a faster network with fewer commissions and that follows closer to the original idea of Satoshi Nakamoto.
Once it is profitable to mine for Bitcoin Cash, part of the mining community will begin to take into account Bitcoin Cash because of the great potential it has. The capital that currently is focused on Bitcoin, is possible that it begins to swing towards Bitcoin Cash and we see a rise of the price.
I think it’s a good time to bet on Bitcoin Cash, everything indicates that it is a safety net for Bitcoin and that given the uncertainty that exists at the moment, its price is being maintained and I think it will start to rise before the end of the year.