The raging price fluctuations Bitcoin Cash has experienced during the first month of its existence make the future of this digital currency uncertain. Alongside having price fluctuations all across the board, Bitcoin Cash’s team of developers hasn’t shed any insight into its plans, CoinDesk reported and found at that everyone knows the lack of details creates the impression that the outlook of the currency’s future is uncertain.
Bitcoin Cash’s volatility in price has been erratic since its inception because nobody knows the actual value. Investing in crypto coins or tokens is uncertain and is not regulated. Anyone considering this should be prepared to risk the entire amount invested.
Volatile Price Of Bitcoin Cash
Since Bitcoin Cash has a lot of potential in an environment that is moving toward the future of digital payments and cryptocurrencies are the future generation, the forecast of the rate at which Bitcoin Cash will increase is vital and is worth looking into.
The price predictions can differ since some believe that Bitcoin Cash can be considered genuine Bitcoin and ought to be regarded as such. However, some think it’s an unproductive cryptocurrency and isn’t as efficient as it’s claimed to be.
Bitcoin Cash’s value nearly doubled in its first 24 hours, soaring from $394 to $757, according to data provided from CoinMarketCap. Due to this massive price rise, Bitcoin Cash quickly became one of the top three cryptocurrencies concerning market cap, as other CoinMarketCap data illustrate. However, the newly-created digital currency couldn’t maintain this price point for very long, dropping too close to $300 within a few minutes and dropping to just $200 by the 5th of August.
The price volatility continued to increase and caused Bitcoin Cash to reach 386 dollars on the 8th of August. It would, after that, experience relative stability through the 17th of August. Then, it began to experience a dramatic rally that drove its price to a record-setting maximum of $1,091.97 on the 19th of August.
The cryptocurrency didn’t trade at this rate for long but immediately fell below $600 before spending the rest period trading anywhere between $700 and $500. As of this report, Bitcoin Cash was trading at $557.26.
Analysts gave different opinions when asked about how the alternative asset protocol would fare over time. For example, Bitcoin Cash trader Marius Rupsys explained Bitcoin Cash’s prospects as “less sure” than its digital cousin Bitcoin. He also said that the fork in cryptocurrency came about “unilaterally initiated by a single miner and was completely unpredictable.” Rupsys claimed his opinion that Bitcoin Cash has failed to gain widespread support, saying the fact that “all market players are either neutral or against it.
In the future, the alternative asset program must overcome several obstacles to be successful the way it is now, he said. “For the fork work, they will require compatible wallets so that merchants can accept it and utilize it, entice developers to join, and numerous other things.”
Jacob Eliosoff also spoke about Bitcoin Cash’s current support level in a statement that the price of Bitcoin Cash and its market cap might have risen to a dazzling level. However, it does not have the same amount of support from stakeholders in the industry, such as developers and users, as Bitcoin has.
But other analysts have taken a different approach and emphasized that Bitcoin Cash is young and has a lot of potential.
Bitcoin has taken eight years to reach where it is today. The UK Managing Director of eToro, a multi-asset brokerage, and social trading firm. Bitcoin Cash has had a much shorter duration. He added that Bitcoin Cash would gain significantly when the Bitcoin network is split in two after an uneasy fork in November.
Bitcoin Cash is among the most well-known forks of the Bitcoin blockchain. The cryptocurrency resulted from an insufficiency with the direction Bitcoin was moving because the primary currency was not following the direction outlined by Satoshi Nakamoto as electronic cash. They design Bitcoin Cash to function more like an exchange than a value store. It ignited a massive controversy between people who believed that Bitcoin was correct and those who thought they needed Bitcoin to make transactions faster and more affordable.
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