November 14 will be remembered for a long time. Even at lunch, the market capitalization of cryptocurrencies was 209 billion dollars, and in the evening figure unexpectedly dipped to 187 billion. Bitcoin was designed to peak 5765 dollars. Other cryptocurrencies from the top, not counting the Tether, lost from 10 to 16 percent of the cost. To write off what is happening on the mysterious whales it is impossible — the situation is much more serious. Understand what is happening.
The collapse took place on the eve of the hard forks of Bitcoin Cash November 15. Update the network was the reason for the present war among developers. Recall, the future BCH can become three coins:
- Bitcoin ABC with the ability to create smart contracts.
- Bitcoin SV with increased block size to 128 megabytes;
- Bitcoin Unlimited with the advantages of the first two options.
ABC support Bitcoin Bitmain, Binance, Bitcoin.com and Coinbase. SV Bitcoin will get support from CoinGeek, SV Pool, and Cobra. What is particularly important for SV acts, Craig Wright, also known as the “Factory”. Despite the nickname, it should not be underestimated. Have to Wright a huge impact in the community, BCH and a large stockpile of bitcoins. Some sources say a million BTC in the wallets of Craig.
Why Bitcoin fell
As we approach the date of update, the situation became more tense. Monday active supporter of BCH VIN Armani spoke about the plan Craig Wright and Kelvin Ear to hold a 51 percent attack on the Bitcoin network Cash and other cryptocurrencies. The first is the need for the decline of canplete Bitcoin SV.
The next day, Calvin commented on the statement indirectly confirmed it. According to him, in the plans there is nothing personal is just business.
“Bitmain is trying to translate it into the plane of personalities. For team CoinGeek we are talking only about profit, and BitcoinSV is the only option for miners who want to earn. We need to protect our substantial investment in mining.”
The situation has continued to evolve. After the fall of the market version connection with the upcoming hardforum Bitcoin Cash seemed groundless, as he sank BCH stronger than the other coins.
However, things can be much harder. Before the fall of the market Craig published the tweets that raise many questions.
First, he spoke about the “war room” where the team is ready to conduct specific tests. For a start, they had to throw “shit” in the face of ABC and “to legitimize neutral money”.
Wright then addressed a message to all miners of Bitcoin. In the case of switching on the extraction of BCH miners will have to Finance the process at the BTC. So — sell it for dollars and thereby reduce the rate of the home currency. Because have to sell a lot, for the market of Bitcoin will not remain place. In the end Craig even hinted at the chance of dropping BTC to 1000 dollars.
Following this, he mentioned the competition in the face of Jihan Wu and Roger Faith. Wright said that they will have to merge a lot of bitcoins to pay for rented Hasrat. If “war” drags on, users should expect the Bitcoin exchange rate at the level of 2014. That is $ 600 per coin.
Now the market has fallen further. Capitalization is 180 billion dollars, Bitcoin has dropped to $ 5,500. If the miners will follow the advice of Craig and will switch to BCH, the rate of BTC will fly deeper. And even if it is not, to play havoc can a panic among holders. Still such a shock after a protracted flat and the lack of volatility is too.
The post Bitcoin has updated the annual minimum. Who is to blame for the market crash? appeared first on FineCrypto.