The rise and fall of Bitcoin Cash (BCH) and Bitcoin Cash SV: a tale of two forks
Ethereum, the largest market capitalization Altcoin, is at the center of a controversial debate in the cryptocurrency community. Ethereum’s two most significant forks are Bitcoin Cash (BCH) and Bitcoin Cash SV (BCH SV), which captivated investors with their growth potential. However, although both coins have a significant increase in price before the hard fork, they fell underestimating after the event.
The first days of BCH
Bitcoin Cash was released in August 2017 as a result of Ethereum Hard Fork. The initial offer of coins (OIC) raised $ 36 million and generated interest from investors worldwide. As more users adopted the new network, the price began to increase constantly. By the end of 2017, BCH has gained significant traction, reaching a historic rise of $ 2,900 per currency.
The rise of BCH SV
In October 2018, a group of developers created a hard fork from Bitcoin Cash Blockchain, results in the launch of Bitcoin Cash SV (BCH SV). BCH SV is designed to address some of the criticism raised by users and investors about the original BCH. The new protocol has introduced serious important updates, including makeshift scalability and transaction efficiency.
Price increase
Before the hard fork, the price of BCH constantly increased its Oic in August 2017. In the months before Hard Fork, the price rose from about $ 200 per coin to more than $ 2,400 per coin, representing an increase of 1,800%. Many investors were thrilled with fast growth potential and speculated that BCH SV would also experience significant gains.
Post-first price collapse
However, as soon as BCH SV was launched in October 2018, its price implies. The initial emotion receives by some investors and the grounds of the currency were revealed. Although it is true that the BCH SV has been recovered part of its lots, the general picture remains worrying.
** Analysis: What went wrong?
So what led to the superficial collapse in the price of BCH after the hard fork? Several factors contributed to this phenomenon:
- Lack of clear details : Developers behind BCH SV have not provided enough information about their script and plans for the future, leading many investors to question their intentions.
- Scalability Problems : Some users have reported experience of experience with the scalability of the new protocol, which may have limited its adoption and acceptance.
- Competition of other currencies : The launch of other altcoins, such as Moneto (XMR) and Ethereum Classic (etc), pushed the attention of BCH SV, potentially diverting when investors’ interest.
Conclusion
The story of Bitcoin Cash and Bitcoin Cash SV serves as a warning tale for investors who want to jump into the cryptocurrency world. While the two have experienced significant pricing outbreaks before the hard fork, their subsidiary declines are a reminder that investment in cryptocurrencies should always be done with caution and complete research.
In this case, the lack of clear details of BCH SV developers may have contributed to investor uncertainty, leading to collapse at their price. As investors sail in the world in the rapid evolution of cryptocurrency, it is essential to address each currency with a critical eye, considering its growth potential and its underlying foundations.
Responsibility Exemption: This article is only for informative purposes and does not provide investment councils.