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Bitcoin Cash ABC – what new will the Bitcoin Cash hardfork bring and does this currency have a right to exist? What are forecasts and prospects about BCHABC?
BCHABC is one of the two cryptocurrencies which have emerged after the separation of the Bitcoin Cash network. Bitcoin ABC and Bitcoin SV are two BCH hardforks. The split took place on November 15, 2018, due to a disagreement between two project development teams. As a result, they’ve decided to split up and to create two different cryptocurrencies instead of one Bitcoin Cash.
The coin was initially offered on November 16, 2018. On the first day, it cost $309,52. And already on the following day, its price was fluctuating around $230,7-258,5 per unit. Currently, the exchange rate reaches up to $227,04.
Not all cryptoinvestors have been able to sort out the essence of the new coin and whether it’s worth investing in. The developers themselves position their cryptocurrency as a true extension of Bitcoin Cash. Moreover, the team has mentioned that the basic structure of the chain didn’t require any radical changes. But some distinctions between Bitcoin Cash ABC and Bitcoin Cash still exist.
It’s interesting that particularly the ABC coin has inherited the BCH name, though on some exchanges it’s still being traded as BCHABC.
The initial disagreements have arisen out of the fact that one side wanted to alter the blockchain technology of the network drastically, while the other was against it. And, though BCHABC is more like classical BCH, it still has undergone some technical modifications including:
Eventually, the world has got a new electronic payment system based on encryption technologies.
The roadmap of the project includes other quite important alterations. For instance, the developers have proposed to increase the block’s size and lower the amount of the transaction fee.
Bitcoin Cash ABC has a really short history as a separate coin since it emerged only on November 15, 2018, after the Bitcoin Cash hardfork. The latter also appeared on the cryptocurrency market not long ago – in August 2017, following the Bitcoin community’s breakup.
The idea itself and functionality of the new coin have been proposed by Roger Ver. He’s an owner of one of the largest and most popular websites which are dedicated to cryptocurrency. Jixan Wu, known as one of the owners of the Bitmain mining company, has also participated directly in the fork’s creation.
It’s a peculiar fact that Bitcoin ABC appeared already in July 2017. Back then it was part of the BCH blockchain. Its separation occurred much later.
The name of the new cryptocurrency hasn’t appeared accidentally. It has been borrowed from the team which has been working on the fork’s technology.
During the “breakdown” of BCH into two new cryptocurrencies a serious scandal between the developers, accompanied by accuses, threats and even DDoS attacks, took place. The conflict is raging on even now.
As Bitcoin ABC and Bitcoin SV has appeared only recently, there is a wide range of views regarding them. It’s only been a month since the moment of the split, but some results can be already summarized. Namely, BCHABC stands to gain now. The coin has been supported by cryptocurrency exchanges and investors. Owners of digital currencies have highlighted its following advantages:
While talking about negative sides, people usually mention Bitcoin SV instead of Bitcoin ABC. It’s too early to speak about disadvantages of the latter as too little time has passed. Moreover, users also have a positive attitude towards the coin.
It wasn’t easy to predict a victory of one of the contestants at the moment of the Bitcoin Cash hardfork. But nowadays mostly Bitcoin ABC is considered to be a winner. And there is a number of undeniable pieces of evidence of it:
It’s difficult to predict a precise exchange rate of the currency so far, but arguments in favour of its successful development can be already provided:
A negative effect on price and development of the coin may occur because of conflicts and scandals between the fork’s teams. This, in its turn, can discourage institutional investors and reduce the volume of capitalization. Another disadvantage is the presence of supporters of Bitcoin SV who will be speaking against the “opposing” coin.
Owners of Bitcoin Cash coins have received Bitcoin ABC for their accounts in the 1:1 ratio during the hardfork. But what should do the ones who didn’t have BCH at that moment? How they can get the new coin? There are several options:
The applicability of the currency as a means of payment will be most likely implemented. As its position is stabilized, many online stores and sites will propose users to pay with the new coin.
On July 12, the payment gateway service of South Africa - Payfast - made an announcement that they stop supporting Bitcoin Cash ABC payments because of network congestion and high fees charged for transactions. Also, Payfast stressed out that BTC has a lot of limitations and flaws, which makes it impossible for ABC to substitute for cash. The information has been shared in the company blog post in July.
According to a statement, BTC payments will not be processed by the system after July 20, 2019. Due to numerous BTC limitations and flaws unique to Bitcoin, the company is forced to remove Bitcoin Core (BTC) from its payment options. Before making such a decision, the company had tried various ways to address the issues at hand, but no solution to the underlying problem stems had been found.
Not much chatter is happening around the Bitcoin Cash ABC (BCHABC) nowadays and the media is silent, however, analytics never sleep and keep bombarding us with fresh predictions and relevant information regarding this crypto-asset.
On June 27th, after a small pullback, the BCHABC continued to grow and tried to gain a foothold above the 500.00 USD mark. The attempt was good, the price came close to the resistance level of 78.6% fibo (517.97 USD), but the pair turned on to decrease. At night, the price of the coin could not consolidate above the support of 500.00 USD and fell just below the four-hour moving average of EMA55, to the region of 450.00 USD.
In the morning, it managed to recover above the level of average prices, but now the decline continues and the pair has returned to the area of the night minimum 450.00 USD. To what level will the price fall next? We believe that the first support may be provided by the red trend line. The coin could stop the decline in the area of 430.00 USD. But if the pressure continues in large volumes, then it will not even withstand the level of 61.8% Fibonacci (422.97 USD) and the price will consolidate only in the area of 407.00 USD.