Ahead of its scheduled fork on November 15, the price of Bitcoin Cash (BCH) has increased by yet another 15 percent to $535.
Yesterday, on November 3, CCN.com reported that the price of BCH surged by 12 percent from $425 to $477 ahead of its hard fork. The support of the original Bitcoin Cash roadmap set forth by ABC by Coinbase, the biggest crypto-to-fiat brokerage, led the confidence towards the asset to increase in a short period of time.
“Twice a year, the Bitcoin Cash (BCH) network hard forks as part of scheduled protocol upgrades. The next BCH hard fork is scheduled for Nov 15, 2018, and Coinbase is prepared to support the published roadmap from bitcoincash.org,” the Coinbase team wrote.
From $477, BCH has continued to skyrocket to $535, as its volume nearly quintupled within a three-day span. Since November 1, the volume of BCH has grown from less than $200 million to $980 million.
The volume of BCH is nearing that of Ripple (XRP) when its price tripled in mid-October ahead of the scheduled announcement released by Ripple Labs hinting a partnership with a major bank.
The partnership turned out to be a deal with Banco Santander, a European banking giant, to utilize XRP as the base currency of the bank’s new mobile app.
Since then, the volume of Ripple has subsided following the decline in the price of Bitcoin. But, BCH has started to near the volume of XRP during that time, which hovered at around $1.3 billion.
Currently, investors are accumulating as much BCH as possible to benefit from the fork. Nchain led by the controversial Craig Wright are expected to fork the Bitcoin Cash chain as it hard forks on November 15, creating two chains of Bitcoin Cash. The original Bitcoin Cash holders will be provided with an equivalent amount of the newly created Bitcoin Cash chain.
Most of the volume of BCH, which was concentrated in Asia in past months, is now composed of buy orders on cryptocurrency-only exchanges like OKEx, Binance, and Huobi, suggesting that traders within the inner cryptocurrency market are accumulating BCH solely due to the fork.
Hence, subsequent to the fork, as seen in the sell-off of XRP in mid-October, a retracement of BCH Is expected.
Rest of the Market Stagnant
Apart from Bitcoin Cash, most major cryptocurrencies and small market cap tokens have recorded minor gains. Cardano, Stellar, Ontology, and Tron recorded gains in the range of 2 to 5 percent.
Brave Attention Token (BAT), the native token of the Brave Browser, has already started to fall in value after the listing of Coinbase. Throughout the past 24 hours, BAT has fallen by 1.5 percent, with a small volume of $18 million.
Bitcoin and Ethereum have maintained stability at $6,350 and $200 respectively over the last 48 hours, and a major upward movement is not expected until the two assets demonstrate a convincing increase in trading activity.
Featured Image from Shutterstock. Charts from TradingView.
Last modified: March 4, 2021 3:06 PM