The basics of crypto trading
BCHSV – does this Bitcoin Cash hardfork have future or is it doomed to fail? What are predictions concerning its exchange rate and overall destiny?
A hardfork of the Bitcoin Cash currency took place in mid-November. As a result, two new coins have emerged: Bitcoin ABC and Bitcoin SV. The latter is now an outsider for currency exchanges and cryptoinvestors. Even creators of the coin themselves have turned their backs on Bitcoin Cash and proclaimed BCHSV the true coin.
Right on the start BSV wasn’t a match to its opponent in terms of value. The price was 4 times lower back then. The modern exchange rate of the coin is $77,5, the rate gap between Bitcoin ABC and Bitcoin SV still remains while the former fork, according to experts, has brighter prospects.
BCHSV occupies the 5th position right under Bitcoin Cash in terms of exchange rate. The market capitalization of the rivals is also quite similar – ₽96 billion against ₽91 billion in favor of ABC. Still, SV demonstrates an upward trend in recent days.
Bitcoin SV emerged on November 15, 2018 after a hardfork of the Bitcoin Cash network. A necessity of separation has arisen due to serious disagreements between two developing teams. It’s an interesting fact that Roger Ver, head of Bitcoin ABC, initiated Bitcoin’s split in 2017. And then he had to face opposition of a part of the community.
A peculiar but still undoubtedly charismatic person – Craig Wright – has become a leader of Bitcoin SV. The cryptosphere is controversial about him, not least because he refers to himself as Satoshi Nakamoto. That’s basically the reason why the fork was named Bitcoin Satoshi Version.
The split of the network happened as block 556767 was reached. The separation was accompanied with constant hassles between the teams and attacks of Craig Wright towards Roger Ver. The rivalry is still going on.
The community of cryptoinvestors doesn’t give much credit to BCHSV. Most currency exchanges and platforms also give their preferences to BCHABC. Among negative features users note a lack of any important technical innovations. An idea of the development team to increase a block’s size up to 128 Mb has been especially heavily criticized. Practice has proven that the ecosystem has reacted badly to the previous BCH increase up to 32 Mb, let alone a fourfold growth.
Poor planning and a paucity of ideas aren’t the only minuses. Another disadvantages of the BCHSV fork that worth mentioning are:
Nowadays Bitcoin SV is considered to be an outsider. Wright, instead of improving his network’s ecosystem, prefers to confront his rivals, sometimes not in honest ways. Newsfeeds are all about the story of an unsuccessful attack of SV’s followers on the ABC network.
There aren’t many positive opinions about the BCHSV fork. People only point out the growth of its value in comparison with its initial rate. But, if qualitative changes aren’t implemented, the company won’t be probably able to stay afloat.
All specialists claim in one voice that Bitcoin ABC is much more promising than Bitcoin SV. The latter party has already tacitly admitted its defeat and even reported that it isn’t a Bitcoin Cash branch while positioning the coin as a “real” Bitcoin. Still, it doesn’t provide any arguments dealing with its qualitative distinctions.
Despite the negative environment, the coin still holds the initial exchange rate (or even exceeds it a little bit). On November 23-26 the price has even skyrocketed by 216 %, reaching the $120 mark.
Despite the cryptocommunity’s negative attitude, the Bitcoin SV development team still has a real chance not only to keep their positions, but also to increase value, capitalization and to attract new investors. The key point for them now is to start working on a technical component of the project. And then as early as next year the rate may come close to the $100-120 mark. A disappointing forecast also shouldn’t be excluded, up to fall in the price below the $30-50 level.
The coin’s unpopularity limits opportunities of its utilization significantly. This is understandable, as the less people use the currency, the less liquid it becomes. Nevertheless, investors keep wondering how to get Bitcoin SV. If a user had had Bitcoin cash in his wallet at the moment of the split, he would have certainly received the new fork. Other options are also available:
The coin is being traded at the moment under the BSV and BCHSV tickers. The first variant has been designated by the developers themselves after the total breakup with the Bitcoin Cash network.
On July 24, the Bitcoin network underwent a key protocol upgrade for changing its scaling capability. The changes to the Quasar protocol lead to the increase of the default block size from its current value of 128MB to 2GB (2,000 MB) available after the upgrade. Although the new default maximum block size is 2GB, a big deal of miner hash rate are manually lowering their hard cap to a level of 512MB. This is a far higher indicator compared to any other projects competing Bitcoin.
The Quasar upgrade is expected to be a key step in BSV's journey to move the massive on-chain scaling power to the new level and make BSV the global blockchain enterprise. Bitcoin Cash SV is already handling 300+ transactions per second. The developer intends to boost this capacity to cross 1000+ transactions per second in the next few months after the Quasar upgrade. This capacity level goes on the same line with the payment network of VISA and supports all enterprise applications.
The TV host and former trader Max Kaiser expects Bitcoin Cash SV cryptocurrency to lose 90% of its value relative to current values before Bitcoin Cash or XRP does. In his Twitter, Kaiser posted a survey in which users are invited to express their own opinion on this matter. By the time of publication, 64% of the 2,364 votes were cast for BSV, 22% for XRP and 14% for BCH. Kaiser himself justified the point of view voiced as follows: "At least XRP has a technical director, only a madman stands behind BCHSV."
The previously mentioned Ripple CTO David Schwartz entered into a discussion with Kaiser, because of the latter’s comments on Facebook cryptocurrency and criticisms of XRP. “Facebook's global stablecoin will eliminate the need for hundreds of altcoins, including XRP. Coming sunset altcoins. As a result, the price of bitcoin will rise higher, since bitcoin competes with gold, and not with fiat (crypto-payment companies are also likely to be knocked out of the market),” Kaiser wrote. In response to this, Schwartz accused his opponent of not understanding XRP and thinking of a “bitcoin-minimalist” who divided cryptocurrencies into bitcoin and everything else. Subsequently, the technical director of Ripple announced that Kaiser had blocked him on Twitter.