Nearly three months after the split of Bitcoin and the creation of Bitcoin Cash, the virtual currency market is again impacted by a "hard-fork": the creation of Bitcoin Gold. Indeed, although they fell sharply last August, cryptocurrency Bitcoin and Ethereum had quickly corrected their losses, driven in particular by the significant speculation of a market believing in their potential. Although its creation was originally scheduled for October 25, Bitcoin Gold came into being on Tuesday, due to the performance of the miners. The latter have indeed completed the 491 407 blocks needed for the launch of Bitcoin Gold. After the birth of Bitcoin Gold, the virtual currencies Ethereum and Bitcoin remain well oriented. The Bitcoin and Ethereum courts have repeatedly overcome major obstacles. The latest examples are the restrictions imposed by the People's Bank of China, including banning ICO (initial coin offerings) and the accusations of a heavyweight in the world of finance, Jamie Dimon, CEO of JP Morgan. What will happen after the creation of Bitcoin Gold? How will the main cryptocurrency Bitcoin and Ethereum react?
Bitcoin and Ethereum retain their potential despite Bitcoin Gold
Although their environment is peculiar, the Ethereum and Bitcoin currencies will have to continue their efforts after this new rebound. Bitcoin Gold has two main objectives. The first aims to modify the mining operation by making sure that the most powerful machines (ASIC) can no longer be used. The second goal is to attract more investors, thus freeing up the Bitcoin network. Let's discover now the first reaction of Bitcoin and Ethereum cryptocurrency.
Ethereum and Bitcoin Technical Analysis Following Bitcoin Gold
Bitcoin - the course of the main cryptocurrency has reached the symbolic threshold at $ 6,000 making the passage a new historical record. Although a consolidation takes shape below this threshold, the bitcoin keeps its uptrend. The crossing of the $ 6,000 seems likely to me in the next sessions, and relaunch, once again, the upside potential of bitcoin.
Bitcoin in daily data in Japanese candles
Ethereum could follow the uptrend of Bitcoin
Ethereum - the price of the virtual currency stabilizes inside a rectangle after bouncing on its lower part at $ 250. Supported by this support, the Ethereum price could in the short term reach the opposite part of this rectangle at $ 368. The upside potential of the ethereum is not finished yet. An exit from the bottom of this rectangle would however invalidate this scenario.
Ethereum in daily data in Japanese candles
Source: dailyfx.com