- Bitcoin Cash BCH Is Suffering Unintended Consequences Of The Bitcoin Cash Halving Event
- The Token Has Dropped By Over 18% And Lower Lows Are on the Way
Bitcoin Cash News Today – For the last few years, there has been a lot of controversy surrounding the Bitcoin Cash token. At first, the token was created to fix all the problems that Bitcoin had. Its proponents believed that it would overtake Bitcoin as the number one cryptocurrency. All the high hopes for Bitcoin Cash have been dashed and more people are questioning the viability of the token every day. During the 2017/2018 bull run, the price of Bitcoin Cash reached its all-time high. Unfortunately, the token is now suffering unintended consequences of the April 9th halving.
Bitcoin Cash BCH – Bitcoin Cash BCH Falls By 18% Against The USD Post Hacking
During the April 9th halving, the Bitcoin Cash mining reward reduced from 12 tokens to 6.25 tokens. The 50% slash in mining reward is making mining unprofitable for now. The good thing is that miners who wait patiently will eventually gain because the Bitcoin Cash network is dynamic and it automatically adjusts after each halving so that miners can continue to gain. After all, Bitcoin halving is coming up soon and the price is already feeling the effect. On the 8th of April, the price of Bitcoin BCH was $268. At the time of writing, the token was struggling to stay above $220. This reflects an 18% drop in price over the past 4 days and the bears still have strong control over the market.
Bitcoin Cash (BCH) Price Today – BCH / USD
The 50-day moving average has reached a death cross because it has closed below the 200-day moving average indicating that lower lows may be on the way. Last year, when the technical charts showed similar patterns, the price of the token fell by more than 34% within eight days. However, the trading volume of the token is falling indicating bearish exhaustion and a slight chance of a reversal.
The primary reason why the price of Bitcoin Cash BCH is falling is that miners who will no longer make a profit at the current prices are selling out and pulling out their capital. The BCH hash rate has fallen to March 2019 lows to show that participation on the network is plummeting. As the mining rate is dropping, so is network security. It is currently down by over 67% since the Bitcoin Cash halving took place falling from 3.6 EH/s to 1.2 EH/s.
Max writes about blockchain projects and regulation with a special focus on United States and China. He joined Smarterum after years of writing for various media outlets.