Bitcoin cash fork price rises
every time there is a hard bifurcation crisis, the currency price may plunge, which is mainly e to the worry of bitcoin.
bitcoin cash is affected by the tightening of domestic policies, and its price will continue to be low, especially the two sessions and G20 summit in March, which will have a huge impact on bitcoin cash. If the policies are good, bitcoin cash will return to the high point, if the policies are bad, it will continue to shake the market.
when compared with other virtual currencies, bitcoin always mentions "21 million fixed output". In the early years, bitcoin had not been exposed to investors in a large area. It proced a lot and g a lot, but there was no demand. But now purchase bitcoin, the price is expensive, the output is small, the demand is big
we believe that when there is an imbalance between supply and demand, the price of goods will be affected. Influenced by the policy, many bitcoin holders are now keeping a wait-and-see attitude. The decrease of bitcoin in circulation in the market and the increasing demand for bitcoin in the market are bound to push the price up, but in fact, it will not be the investment speculators who come into the market at this high level who will benefit in the end
popularization of regional chain
the report released by professional institutions mentioned the problem of regional chain technology. The report shows that by 2027, the global investment value of regional chain technology will reach 300 billion to 400 billion US dollars. And the regional chain as an infrastructure development, will be applied to more and more scenarios
at that time, whether the popularity of regional chain will raise the price of bitcoin is also full of uncertainty
investor confidence remains unchanged
although many institutions and financial giants are short of bitcoin, investors are still confident in the future value of bitcoin. After all, in history, is there any trading proct that can soar 7.54 million times in eight years
professional agency analysts said that 10 years ago, the impact of the financial crisis had so far failed to get rid of the shadow of many countries, and the share price bubble continued to expand. Investors would worry whether the original financial system would collapse again. Bitcoin, which has a strong performance, will attract more investors with capital inflows, thus driving up prices. In a way, bitcoin is already a safe haven
although the trading of bitcoin was suspended by China in September 2017, bitcoin surged by more than 233% after de Sinicization< In November 2017, bitcoin began to hard bifurcate, that is to say, dividing the regional chain into two, which is equivalent to doubling the issue of bitcoin, which means that the value of bitcoin will be diluted. Affected by the impending start of hard bifurcations, bitcoin started on November 9, 2017 and has been in a state of decline for four days
the suspension of the 2x fork originally scheled for November 16, 2017 has eased the anxiety of the whole bitcoin instry chain over capacity expansion, and the market is a little relieved of the possible collapse crisis caused by the fork
bubble greater risk
many investors have seen the bitcoin appreciation and profit margins after they have entered the bitcoin trading market. However, the current domestic large-scale bitcoin trading platform has been completely closed, and the regulatory level has not relaxed the entry of bitcoin into the domestic market
bitcoin, as a speculative commodity, has great bubbles and unknown risks. We tend to ignore the risk, and it is often the risk that damages the funds in our pockets. When participating in a high-risk market, we must reasonably allocate personal assets, such as the allocation of stable financial procts such as stable profit selection investment plan. We must not use all our wealth to allocate high-risk investment procts
in a word, bitcoin has risen dramatically in recent years. It's hard to avoid some words like "you are the richest man in China now if you bought bitcoin eight years ago". But eight years ago, you didn't know that bitcoin could be as brilliant as it is today. You might as well change your vision and look for the next "bitcoin"
the above is the reason why bitcoin's price rises. As much profit as possible, there is as much risk. Although bitcoin has been rising in price, no one is sure in the future. If we must invest in digital currency, we must first control its risks.
of course, bitcoin cash has been forked once. The forked currency can be traded on microbit, and the price has plummeted a lot, which is basically negligible. This is also the case with most of the forked currencies
bitcoin cash has removed isolation verification, and currently supports 8m, which has great advantages in stability and handling charges.
utxo is the abbreviation of unspent transaction output, and transaction act is pronounced as X. Utxo is the first specific technical solution adopted by Nakamoto in bitcoin. In the design of bitcoin, there is no account concept
section one: why do you split up when you don't say a word
the concept of bifurcation originated from bitcoin
as we know, bitcoin trading is based on bitcoin blockchain network (one block by one forms a chain of front and back Association, forming a bitcoin blockchain network). Since a block is a block, it must have capacity (let's fill in the block, it is nothing more than a collection of codes), The size of the block capacity will limit the efficiency of the transaction. If the block capacity is too small, the smaller the number of transactions will be. Once the transaction volume is too large, it will cause congestion
the capacity of bitcoin block is only 1m, and it can hold only 5-7 transactions. In the past, there were relatively few users for bitcoin transactions, so this capacity is no problem. However, with the rise of bitcoin price, more and more users swarmed in, and the bitcoin block could not accommodate so many transactions, resulting in congestion
bitcoin is anxious: slow down, brother Dei, I can't keep up with your trading speed. Hello! Users are also anxious: brother, can you hurry up
this is a big problem, not only because we have limited patience, but also because bitcoin's positioning is currency. As a currency, you should pay and collect money quickly, accurately and ruthlessly. If you are always so slow, when can you realize the currency attribute? So, this is a big problem
of course, the bitcoin community knows the importance of this problem. As for how to solve this problem, the bitcoin community is divided on whether to expand the capacity of bitcoin blocks (as we have just said, it is too little capacity of bitcoin blocks that leads to slow transaction speed and congestion)
the controversy is mainly divided into two camps:
the original development team of bitcoin, led by core, believes that bitcoin is an electronic gold of value storage, which will destroy its core once it is expanded
however, the mining team led by Wu Jihan believes that bitcoin should be a kind of currency with rapid circulation in the future, and it needs to be expanded to solve the problem of transaction congestion. Because of the decentralized nature of the blockchain, no indivial or organization can decide how to "expand" the bitcoin system. Everyone has their own opinions, and their opinions are divided. No one is willing to give in. Therefore, everyone goes their own way. The bitcoin chain has split into BTC and BCH chains, and over time it has evolved into the so-called "bifurcation"
this is the origin of bifurcation
what happens after the second section bifurcates
for blockchain, bifurcation is the change of blockchain protocol, which is similar to upgrading the blockchain to make up for the shortcomings of the system. This is just like our current mobile phone software often prompts you to upgrade
however, we know that blockchain is decentralized. Unlike your mobile software, developers can upgrade when they say so. In the world of blockchain, any modification needs the consensus of all members. No one can decide when to change or how to change the underlying agreement of blockchain
therefore, when the original development team of bitcoin and the miner team have differences, the system will be divided into two parts, and two new systems based on the original blockchain will appear. Everyone has their own problems, and no one can intervene. In this way, the bitcoin system is divided into two chains: BTC and BCH, which are called "bifurcations", and BCH is called bifurcated currency (the bifurcated currency of bitcoin)
in fact, not only BCH, but also bitcoin has many bifurcated coins. Why is BCH the first thing to think of when it comes to bifurcated currencies? This is because BCH is a successful bifurcated currency. When its market value is the highest, it ranks the fourth in the list of cryptocurrencies, next only to bitcoin, Ethereum and EOS
section 3 hard fork and soft fork
let's make a metaphor: if bitcoin system is the trunk of a big tree, then BCH and other fork coins are the branches of the tree. However, bifurcation is not as simple as this metaphor. It can be divided into hard bifurcation and soft bifurcation
first, hard bifurcation: goodbye, never see again
the BCH we mentioned above belongs to hard bifurcation. Hard bifurcation means that nodes using old software can no longer verify blocks proced with new software nodes. If you want to verify, you can only upgrade. After upgrading, it is equivalent to changing the track and running on another new system. Just like BCH to BTC, BCH is a brand new track (a brand new chain), and the coin on this chain is BCH (bitcoin cash). Then, nodes using BCH system can no longer go to BTC network for transaction verification. Hard bifurcations, generally speaking, mean going their own way. There is no intersection any more< Second, soft bifurcation: getting better to meet again
soft bifurcation is opposite to hard bifurcation. Soft bifurcation means that nodes using the old version can verify the blocks proced by nodes using the new version, and nodes using the new version can also verify the blocks proced by nodes using the old version. The two versions are compatible
the way bitcoin upgraded its isolation witness in 2017 is soft bifurcation. In the whole process, it doesn't matter whether we use the old version or the new version, because they are compatible. The new version only solves some problems better. In essence, we are still running on the bitcoin chain, and there is no new coin
to sum up, the difference between soft fork and hard fork is whether nodes using old software can be compatible with nodes using new software. Compatibility is soft fork, while incompatibility is hard fork.
At present, foreign bitcoin trading platforms show that the peak value of bitcoin trading price has exceeded the US $7400 mark, and it is also a wave to US $7500. At the same time, bitcoin cash (BCH) is also rising with the tide
it seems that the rise of bitcoin price drives the whole money market, so there is the rise of bitcoin cash; But is that really the case
in fact, bitcoin cash is different from bitcoin. The biggest difference is that the block capacity of the blockchain is 8m; Similarly, it does not recognize segwit, which is a new branch of bitcoin compared with the capacity of the original 1m bitcoin block
user needs also determine the price
whether it's real goods or the digital currency virtual goods we are talking about, it's just with user needs that they are created. Although the price of bitcoin cash (BCH) has been hovering around $300 before, from the current price of bitcoin, there is still a lot of room for the rise of bitcoin cash (BCH); Is the rise of bitcoin's cash price not in the form of user demand
BCH has great development prospects
BCH is the digital currency most in line with the original heart of bitcoin
the original intention of Nakamoto's design of bitcoin is to be a kind of currency widely used by human beings, a point-to-point currency which is different from the current legal currency system and cannot be eliminated by power. In order to achieve this goal, bitcoin network must keep the transaction fees at a very low level, so that all users feel indifferent; The second is to give users a stable confirmation expectation, that is, 10 minutes to confirm. But now bitcoin is off track. Bitcoin cash (BCH) is based on this point-to-point e-cash system to improve
increase in computing power
the rise in the price of bitcoin cash is also inseparable from the mining computing power of bitcoin cash. With the increase of the mining difficulty of bitcoin and the decrease of the mining difficulty of BCH, the miners think that it will be easier to dig BCH, and it is more profitable to dig bitcoin cash (BCH) than bitcoin, so the computing power will switch to BCH. With the rising price of BCH, digging BCH will become more profitable
bitcoin will be bifurcated again, which is good for BCH
bitcoin will be bifurcated again in November, which is good for bitcoin cash. Because the consensus of the bitcoin community is not consistent, bitcoin is likely to become two kinds of coins after the bifurcation in November. The newly generated bitcoin with the capacity expanded to 2M and the non expanded bitcoin will compete for the naming right of "bitcoin". The fight for naming right will bring great economic chaos and replay attack, which is a threat to users' assets. Some users will move to the bitcoin cash (BCH) camp in order to preserve their assets. If segwit2x hard fork fails in November, bitcoin cash (BCH) will be used as a solution for bitcoin expansion, and will gain more users' support e to its own advantages. Therefore, before the bifurcations of bitcoin come, some investors will invest in BCH to avoid risks, which will also cause a wave of rise
the continuous improvement of bitcoin cash (BCH)
there have been many supporters since BCH came into being. With the continuous development of BCH, many trading platforms, infrastructure, businesses have joined the BCH camp. Because BCH has the advantages of low transaction fees and reliable transaction confirmation that bitcoin does not have at present, it is inevitable for BCH to recover the territory lost by BTC e to transaction congestion and soaring costs in the future. At present, BCH community has been comparable with BTC community
BCH's surge is inevitable. Because the emergence of goods is to meet people's needs BCH, as a point-to-point e-cash system which is most in line with Nakamoto's idea, is very promising. With the development of time, it is possible for BCH to surpass BTC in price as well as in value