In the last 24 hours, Bitcoin Cash (BCH) has recorded a 12 percent growth from $425 to $477 before its hard fork. You can recall that CCN reported that Binance and Bitcoin.com choose to support the ABC’s version of Bitcoin Cash (BCH).
Following this announcement Bitcoin Cash (BCH) price had a boost from $425 to $460 and even touched $470 briefly. However, the price of the digital asset also reached $477 with a strong volume in momentum.
Why Has Bitcoin Cash (BCH) Started an Upward Shift Again?
Talking based on historical data about digital tokens, major tokens in the crypto space including Bitcoin (BTC) and Ethereum (ETH) typically surged upwards prior to a hard fork because investors of the actual chain and rewarded with the new token created based on the 1:1 ratio.
For example, in August last year, when Bitcoin Cash (BCH) officially hard-forked Bitcoin, investors in BTC were duly rewarded with Bitcoin Cash (BCH) based on the equivalent amount of what they held in Bitcoin’s. The rise in Bitcoin Cash price over the last 24 hours is can be attributed to two major factors including the expected distribution of the new BCH fork to already existing investors on the network and increasing support geared towards publishing a roadmap of Bitcoin Cash (BCH).
The Volume of Bitcoin Cash is Still a Major Concern
According to Eric Thies, a cryptocurrency technical analyst, in previous major price corrections, the virtual currency market had not displayed low-level volatility as this until the accumulation phase. However, throughout the last two months, and mostly due to a low volume in the digital asset market, major digital currencies remained relatively stable but in low price ranges.
While the recent three-month stability in Bitcoin (BTC) price could cause a strong short-term upwards shift by year’s end, there are still concerns that the low volume of the top digital assets could make things more challenging for an upward price movement to be initiated and sustained.
Princess Ogono is a writer, lawyer and fitness enthusiast. She believes cryptocurrencies are the future. When she's not writing, she spends time with her adorable cat, Ginger and works out often.