In this video, I break down the recent rally of Bitcoin Cash (BCH) following the cancellation of Segwit2x.
Segwit2x was a Bitcoin fork pushed forward by the Digital Currency Group which who's board of directors includes banker Larry Summers and Glenn Hutchins of The New York Federal Reserve. It was utterly rejected by Bitcoin users and was called off.
This was followed by a lot of confusion in the market. Bitcoin skyrocketed to about $7800 USD before falling down to about $7000. In the days after, Bitcoin kept falling like a rock and Bitcoin Cash begun skyrocketing. BCH is sitting around $1300 USD now, up more than 50% in less than a day as Bitcoin heads towards about $6000 USD.
If 1mb Bitcoin classic was the market's choice, shouldn't it have continued on up following the rejection of Segwit2x?
One would think. Yet Bitcoin Cash seems to be rapidly rising to the task as the new kid on the "blockchain" looking to at some point overtake Bitcoin Classic.
Many of the top names in cryptocurrency are theorizing that Bitcoin Cash will simply become "Bitcoin" if it surpasses $2500 USD. The fundamentals are the same. Bitcoin Cash is a basic clone of the Bitcoin blockchain, however the block size is much bigger, transaction times and fees are lower and the market seems to be appreciating it more than ever.
Roger Ver said this on Twitter,
"If reality is contradicting your preconceived opinions then your premises are likely flawed. Study economics to understand why Bitcoin Cash will win wider adoption than 1MB Segwit Bitcoin shortly."
Many including Jeff Berwick, Rick Falkvinge of the Pirate Party and Bobby Lee have had similar theories. Is it time to listen? Yes. Is it time to sell all of your Bitcoin Classic? No way! There's still a lot of confusion. The market will adapt and if you pay attention you'll know what to do.
This is a competing currency system on the free market. As we've always said, when something better comes along, we gotta move it on over!
We will continue to report on this massive development!
