According to a market research on the major crypto token exchanges, Bitcoin Cash (BCH) users may prefer the more established model of the Bitcoin ABC software ahead of a long anticipated fork this month. Due to the technical nature of the digital asset, Bitcoin Cash (BCH) users must adopt a new software model and changes based on decisions by open-source developers after a six month period or “hard fork.”
Things are now different, though, amid the emergence of Bitcoin SV a major rival of the software version. This means that anticipation has gradually grown to the point that Bitcoin Cash (BCH) might have to undergo a hard fork that will see the token split into two competing virtual currencies.
The data gathered from the market experiment conducted by Poloniex a major exchange operated by Circle the Goldman Sachs-backed blockchain startup, shows that Bitcoin ABC might be the preferred option despite the emergence of a rival version.
After launching markets designed to represent multiple versions of the software, Bitcoin ABC now has a clear lead, after it began trading four times higher in price compared to others.
In A Bid to Maintain Neutrality Druing the Upcoming BCH Upgrade Poloniex Launched Pre-Fork Trading
Pre-fork trading was introduced by Poloniex at 01:00 UTC today. This initiative is dedicated to retaining a neutral stance regarding the Bitcoin Cash upgrade in the future. The idea that theoretical cases can help users decide consensus regarding technical roadmaps has been brought up before.
Yet this is the most recent version of a digital asset exchange looking to play a part in supporting decision making in the community. By doing this the exchange is letting its users see which particular chain has wide support in the event that both options are introduced.
What Does the Chart Show?
There is evidence to suggest that the debate might not be as divisive as originally anticipated. As we can see from the charts, BCHABC is now trading at $465 (actually priced in USDC, which is the exchange’s dollar-pegged stablecoin), 4.2 times higher than that of BCHSV’s current price ($109 USDC) as of press time. For purposes of comparison, Bitcoin Cash (BCH) is currently trading at $596 USDC on Poloniex exchange.
Pre-fork trading has gone live for approximately 12-hours so far. It is only available to users who are willing to convert their Bitcoin Cash (BCH) tokens to any of the forks. Hence, trading volumes remain merger as of press time. That said, BCHABC is leading the charge with double the trading volume of its competitor BCHSV. As of time of writing, BCHABC was trading at $45,785 USDC and BCHSV trading at $21,988 USDC respectively.
Bitcoin Cash (BCH) Price Today – BCH / USD
Price Discovery May Remain Erratic Until Enough Liquidity is Established
Despite the fact that experimental markets are illiquid, this price discovery is likely going to be particularly erratic until there is sufficient liquidity. Both software versions (BCHABC and BCHSV) deposits and withdrawals will be enabled only after the actual fork (BCH-fork) takes place on the 15 of this month. Notwithstanding, there is no guarantee that both forks will be “economically or technically viable,” according to Poloniex.