Now a hard fork has precedence in the cryptocurrency world. Ethereum Classic separated from Ethereum a while ago and has since languished at around $6-10 while Ethereum has grown not only in terms of currency but also as a blockchain tool. So, hard forks didn’t have much track record of competing against their original coins at all. It is part of the reason why bitcoin not only survived but thrived after the fork, especially in the initial two weeks.
The unavailability and uncertainty regarding the Bitcoin Cash fork was also a reason behind its increasing price. Now what baffled most coin traders was the fact that Bitcoin didn’t stop there. Once it was clear that Bitcoin Cash was here to stay and it started being traded, BTC still managed to show awesome growth and seems to be sustaining it.
So, against all odds, the demand for bitcoin as the premier cryptocurrency in the world has been impervious to the birth and success of its hard fork Bitcoin Cash. It is certainly one of the most peculiar cases in the world and the likes of which we haven’t seen anywhere yet.
Now cryptocurrency is full of surprises and especially Bitcoin but it would be wrong to rule out that Bitcoin Cash is not going to affect Bitcoin in any way in the future. Bitcoin Cash is already the third most heavily traded cryptocurrency in the world and only Ethereum is sandwiched in between the two bitcoins in terms of worth, market capitalization and volume of trades and money being spent.
So, even if not as a fork, the Bitcoin Cash will have an effect on the future of Bitcoin, but as a competitor. Nobody is going to deny that. So expect some trading tussle between these two in the near future. Since Bitcoin Cash is posing as the “real bitcoin” due to it having the old blockchain transactional approach, it has something to sell on, in contrast to the Ethereum Classic that has faded away into the lower echelons of cryptocurrency trading.
However, just as it has been difficult to predict on how Bitcoin will behave after the fork, it is difficult to predict how much the hard fork will affect the Bitcoin in the long run. Since more than two-thirds of all bitcoins have been mined, there is a growing consensus that forks like Bitcoin Cash will be needed in the future to keep the price of bitcoin in check.
I know it is a crazy idea but it makes sense if you look at the model Bitcoin is providing us with. The blockchain will not progress once the limit in its design has achieved and given bitcoin’s power-hungry proof-of-work mining, it is going to be extremely difficult to come up with a currency of Bitcoin’s stature. The result is that people will be extremely interested in its fork. It may not be Bitcoin itself but it can be a good sidekick and a cheaper alternative.
As more and more users start using bitcoin why cannot it be traded side by side with bitcoin? This is another theory that may work for the future. There are two Bitcoin for the time being and both have the same blockchain history till August, while one is a direct copy, it is just as good and people can invest in its confidence. The Bitcoin Cash’s futures may increase to the original price of the bitcoin itself and thus we will have two Bitcoins, being traded at almost the same price.
While I don’t see that happening to be honest but the wayward theory does present a nice alternative to the bitcoin-drying up phenomenon. Bitcoin itself gave way for the hard fork and now that it has actually resulted in an overall good situation, it might do it again since Bitcoin holders get new tokens.
So, can it become another way of ensuring more coins hitting the market again and again? I won’t like to see ten Bitcoin in the market ofcourse but two seems digestible and understandable right now. You tell me!
So, if the Bitcoin Cash survives this crucial period, the miners and other people will always be divided between the two Bitcoins. This may result in some price-related fluctuations, even if not in the near future. This might be one of the universal problems associated with forks and you cannot just get away with it. It is how things work in a real free market.
If a popular restaurant gets split and one of the two original partners in the restaurant opens a separate shop, chances are both might succeed if people keep liking it or chances are also that the new owner’s setup will face losses and will go low-key since people associate the food with the original place.
So, just like in this situation, it is very difficult to accurately predict what will happen. Just like often times in the cryptocurrency world, we are in unprecedented waters. Whatever the traders, investors and general user’s choice will be, shall rule at the end of the day.
In my own opinion, Bitcoin Cash will certainly undergo a roller coaster ride until it settles down to what its role in the future is gonna be. A sister currency of Bitcoin or the deranged uncle in the attic!
Do let us know what you think about the future of the Bitcoin-Bitcoin Cash relationship? I am guessing many would still say Bitcoin Cash is a fraud. Well, it is here to stay and it seems to have worked. Isn’t the whole cryptocurrency based on the working principle and general acceptance? I hope you change your mind about that and I don’t have any invested Bitcoin Cash at the back while saying it. I genuinely believe that Bitcoin Cash move worked and we should all move on.