During the last week or so, investors have been pouring their money into Bitcoin Cash. The price of the currency has appreciated by more than 50% within six days. The coin was trading at just a little under $900 last Thursday and as of this writing, the Bitcoin cash has surpassed $1,300.
Market reports suggest that Bitcoin has become one of the most traded currencies at the exchanges with volumes exceeding even Bitcoin trading at Shapeshift, a major cypto exchange.
The trend has not gone unnoticed by the market watchers who have been analyzing the currency to get a sense of what is going on. A number of analysts believe that Bitcoin Cash is highly undervalued given its improved features over Bitcoin.
Bitcoin Cash History
Bitcoin Cash was formed as a result of a hard fork with Bitcoin in August 2017. The new alt coin saw immediate gains and popularity with the investors. The currency even went as high as $4,000 during its peak performance. It eventually dropped to less than $1,000 during the current regulatory pressure from various governments.
Bitcoin Cash Features
Bitcoin cash is considered one of the most business-friendly cryptocurrencies in the market due to its features. Some of these features are:
- Bitcoin cash has a bigger block size which is around 8 MB compared to Bitcoin’s 1 MB. Crypto experts believe that a smaller size limits Bitcoin to potential uses.
- Bitcoin cash can adjust the difficulty of proof-of-work if the hash rate is slow, a feature missing in Bitcoin.
- Bitcoin cash has replay and wipeout protection and the transaction signature is different.
- Bitcoin cash has a much lower transaction fees compared to Bitcoin which is one of the main reasons for its wider adoption.
Bitcoin Cash Support
Bitcoin cash has been trading in the markets for a little over nine months. The currency has gone through a lot of improvements in terms of infrastructure and technological development. The currency also has a lot of support from wallet providers, miners and crypto exchanges. Very few currencies have received such a high level of support in such a short period of time.
BCH is supported by all the major exchanges including Bitstamp, Bithunb, Kraken, Coinbase, Binance, Bitfinix, Bittrex and many more. Many of the well known wallet providers also support the coin including Bread, Jaxx, Ledger, Edge, Copay, Exodus, Mobi, Stash and Trezor etc.
Moreover the coin has six full node implementations including Pariity, Bitcoin ABC, Flowee, Unlimited, XT and Bitprim.
Apart from the storage, exchange and network support, the merchant acceptance for BCH currency has been much higher compared to other cryptocurrencies. Greater integration with payment processors such as Bitpay allowed the cryptocurrency to gain popularity at a higher rate.
The Close Connection with Bitcoin
Bitcoin Cash shares the same history as Bitcoin and many of its supporters have been around since the early days of cryptocurrencies. Many supporters of BCH originally supported Bitcoin until the scaling debate which split the community into two.
Other cryptocurrencies such as Litecoin and Ethereum were created to remedy the scaling issues present in Bitcoin. However, the core supporters believe that these new alt coins deviate too much from the core goals of Bitcoin.
Bitcoin cash presents a middle ground. While retaining many of the core values of Bitoin, it sought to improve transaction speed, lower cost and resolve scalability issues for the cryptocurrency.