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Why doesn’t Bitcoin Cash follow Bitcoin’s trend (Why hasn’t Bitcoin Cash surpassed Ethereum yet)?

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Why doesn\’t Bitcoin Cash follow Bitcoin? In a recent interview, an investor fro

Why doesnt Bitcoin Cash follow Bitcoins trend (Why hasnt Bitcoin Cash surpassed Ethereum yet)?

Why doesn’t Bitcoin Cash follow Bitcoin? In a recent interview, an investor from an investment institution told me that he had purchased $10 million worth of Bitcoin. But when asked this question, the investor said, “If you can’t buy Bitcoin now, would you consider gambling on it?”

This investor answered: Yes! We can push the price of Bitcoin Cash to around $10,000; we can also lower the price to around $200, Ethereum falls below $400 USDT, and so on…

Therefore, despite this, many factors indicate that the cryptocurrency market is undergoing a cyclic change, and Bitcoin is in the early stage of a bull market. So why is it bullish? Because Bitcoin has been at the bottom of an upward trend in the past few months and is still rising, while some other mainstream coins are starting to decline. So, both situations are worth paying attention to.

First, due to the small trading volume and capital scale of the current cryptocurrency market (especially in the second half of 2017), the bear market is a significant risk for Bitcoin, but as time goes on, this risk will decrease. “Bear market” refers to the possibility that those who are considered to hold long-term may sell their chips instead of selling them to profit.”

Second, although there is currently no company in the market to support the listing of Bitcoin ETF or related products, after the launch of ETF-like products in early 2020, people found it popular. Unlike most traditional financial products, this product does not provide investment exposure to Bitcoin ETF. However, these products usually have the same functions and characteristics (such as through fund management, lending services, or other forms of insurance), for example, stocks, bonds, and futures contracts. This means that if the price of a certain commodity performs well, it can become a new asset class and gain widespread use cases. In addition, according to documents released by the U.S. Securities and Exchange Commission (SEC), “trust products like GBTC should be subject to strict control.” This allows investors to arbitrage operations from a variety of exchanges, even on centralized platforms.

Finally, for individuals who want to have a large amount of capital on their balance sheets, this may be one of the safest options. Of course, if you want to bet on the future direction of Bitcoin for the next few years, what conditions do you need to consider? Let’s first take a look at the historical trend of Bitcoin.

On December 14, 2019, Bitcoin broke through the $59,000 mark for the first time and entered a very low point, and after the market fell back at that time, it returned to around $65,000. Since then, Bitcoin has been steadily developing upwards, and it has not broken this range until today. (Image from coindesk)

In addition, according to data statistics from CoinMarketCap, the total trading volume of the Bitcoin spot market is $491 million, with a 24-hour increase of 14.4%, reaching $289 million, ranking second.

Why hasn’t Bitcoin Cash surpassed Ethereum yet?

According to bitcoin.com, according to the information on the Bitcoincash.org website, the block size of Bitcoin Cash (BCH) is 4MB. However, transaction speed on the Ethereum blockchain is very slow, and fees are relatively high. Therefore, although miners can confirm transactions and store data with small payments, this does not necessarily mean that it has reached the gas value required by the consensus algorithm. In the past few months, the increasing popularity, usage, and trust of Bitcoin Cash have driven its price up while Ethereum has not been surpassed.

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