[2017-07-31] Will Bitcoin Cash Impact the Bitcoin Price?

[gokayc]

Bitcoin traders may soon be able to bet on their preferred version of the blockchain.

As if a years-long debate over the network's technical roadmap wasn't dramatic enough, Tuesday could see yet another twist in bitcoin's scaling debate. That's when a group of miners and developers say they will go as far as to create an alternative network to prove bigger blocks are the best solution for increasing network capacity.

Called Bitcoin Cash (BCC), the effort will effectively fork bitcoin's existing software and transaction history, and in the process, give every bitcoin user new cryptocurrency tokens on a new blockchain with different rules.

Should users own 2 BTC, this means they'll now be able to claim 2 BCC on the Bitcoin Cash blockchain, a move that could generate millions of dollars in new value for traders.

Not without precedent, a similar event took place on ethereum last summer, when members of that community created a new cryptocurrency to protest a design decision by developers.

Yet if you were expecting that sort of uncertainty to be scaring away traders, according to Ripple gateway operator Rafael Olaio, the end result is anything but. Given the creation of the new network, Olaio and others expect traders to hold steady before claiming their new funds.

He told CoinDesk:

    "People want to double their coins. Nobody is selling bitcoin."

Overall, analysts offered a variety of opinions on what could develop in the days and months ahead, commenting on what they believe could be the immediate and long-term impact of the creation of a new, widely traded cryptocurrency bearing resemblance to bitcoin.

However, it's important to note that not all traders believe Bitcoin Cash will meet this definition.

Arthur Hayes, founder of crypto derivatives trading platform BitMEX, for example, noted that "theoretically" the launch of Bitcoin Cash should cause bitcoin's price to drop. Still, he questions whether this indeed will happen given that, historically, traders have not been kind to assets that have attempted to fork away from bitcoin.

"There have been many similar distributions based on bitcoin ownership that caused no such drop in price, including bitcoin clams, byteball, etc. I think the Bitcoin Cash distribution will have minimal to no impact on the bitcoin price," he said.

Hayes continued:

    "I don't believe most holders expect longevity of this chain past the point at which they immediately dump their 'free money' to purchase bitcoin."

https://www.coindesk.com/will-bitcoin-cash-impact-bitcoin-price-traders-split-possible-fork/?utm_content=bufferc3818&utm_medium=social&utm_source=twitter.com&utm_campaign=buffer

[1713858165]

1713858165

[1713858165]

1713858165

[1713858165]

1713858165

[1713858165]

1713858165

[1713858165]

1713858165

[1Referee]

Not exactly sure to what extent, but I do agree with the statement that people are not willing to sell Bitcoin due to BCC. As we speak, 1BCC future is worth around 0.127BTC. In plain terms, if you hold 10BTC, you'll be able (based on current valuation) to convert your BCC into 1.27BTC. In case you're a large holder with 100BTC, you'll be able to convert your BCC into 12.7BTC. Now seriously, who is stupid enough to let such an opportunity pass? Obviously, you'll need the price of BCC to remain relatively stable, which especially at the first stage, due to the dumpfest, I can't see become reality. That's why I prefer to wait a while before I convert my BCC's into BTC. It's a one time opportunity, so I better make the best out of it.

[iram1011]

BCC is like free coins to BTC holders. Any new coin which isn't backed by some investment turns to nothing. Added to that Bitcoin community isn't really welcoming to BCC. There would be a huge dumping. Even if some were thinking of holding BCC would now sell it because of all the negativity surrounding BCC. Nobody would certainly want any loss.

The only risk of all this BCC drama is that it has opened a way for fake wallets, phishing websites and scam. Users need to be extra cautious with their private keys.

[hosseinimr93]

In my opinion, No, Bitcoin cash won't affect the Bitcoin price. I think Bitcoin Cash is just an altcoin like others. Investors will use Bitcoin Cash as a replacement for Bitcoin. Maybe investors hold some Bitcoin cash as they hold some altcoins such as Dash and Litecoin. Bitcoin goes its own way and no coin can affect it.

[iamTom123]

Yes, there would be some effect that Bitcoin Cash (BCH) can impact the real Bitcoin. But I predict that it will not be a negative one but rather a very positive making Bitcoin soar in value. Rather than decrease the value of the real Bitcoin, what will happen is that BCH will actually accelerate its value into the moon.

In other words, Bitcoin Cash can just be a negligible development as now we can see and differentiate the real Bitcoin from its offspring called as Bitcoin Cash. Though, make no mistake about it, we should actually welcome the creation of BCH as it can mean free money for us Bitcoin holders.

Why would I say no to free money, right?

[TraderTimm]

Bitmain Centralized Coin will have a negligible effect. Perhaps a net positive once some hardy souls cash out and buy more BTC with the proceeds.

Anyway, it really doesn't matter. Let the failed messiah and his chinese junk dealer have their ego-coin, good riddance.

[Zicadis]

As far as I know this will have an indirect effect on bitcoin proper which will be the main chain, Bitcoin Cash is more less like an early xmas present which will just give bitcoiners extra cash to get more bitcoins or whatever they want and with less support coming from established bitcoin businesses vouching for BCC this will just ignite more demand for BTC.

[aso118]

Looks like Bitcoin Cash will be available real cheap once it debuts tomorrow. The futures are trading at 0.1 BTC currently.
Bitcoin could surge once the uncertainty around August 1 ends. The surge might have nothing to do with Bitcoin Cash.

[eckmar]

Most ppl atm will sell it as soon as they get it, in order to get more BTC. I personally thought the price for BCC would be a bit better. Anyway we will see a slight increase in BTC price when BCC holders start dumping

[SvenBomvolen]

In my opinion, No, Bitcoin cash won't affect the Bitcoin price. I think Bitcoin Cash is just an altcoin like others. Investors will use Bitcoin Cash as a replacement for Bitcoin. Maybe investors hold some Bitcoin cash as they hold some altcoins such as Dash and Litecoin. Bitcoin goes its own way and no coin can affect it.

Bitcoin cash is a token and I doubt that it has any chance to replace Bitcoin. But it can become real competitor to some other tokens and alts. I am not a fan of predictions, time will show what is going to be exactly with this newbie BBC 

[btc_angela]

In my opinion, No, Bitcoin cash won't affect the Bitcoin price. I think Bitcoin Cash is just an altcoin like others. Investors will use Bitcoin Cash as a replacement for Bitcoin. Maybe investors hold some Bitcoin cash as they hold some altcoins such as Dash and Litecoin. Bitcoin goes its own way and no coin can affect it.

Bitcoin cash is a token and I doubt that it has any chance to replace Bitcoin. But it can become real competitor to some other tokens and alts. I am not a fan of predictions, time will show what is going to be exactly with this newbie BBC 

BCH or BCC whatever they call it, will be really a big competition to alt coins but not to BTC. I think everyone should treat it that way so that there will still be one "Bitcoin". It will open doors for a lot of altcoins traders, but just like any altcoins, it will be purely used by manipulators to pump and dump this coin and take home profits. I think this would be an easy way for experienced traders to really profit out of this altcoin.

[richardsNY]

Most ppl atm will sell it as soon as they get it, in order to get more BTC. I personally thought the price for BCC would be a bit better. Anyway we will see a slight increase in BTC price when BCC holders start dumping

BCC is just an altcoin, but then one with a relatively low support base. I don't expect the value of one BCC to exceed the 0.2 BTC level any time soon -- especially not when you consider that people will keep dumping their coins in the coming days/weeks. I personally haven't sold anything yet, but that's more because I am too lazy to move my BTC to a completely new address/private key, where I after that can import the empty BTC private key in the BCC client to liquidate the free fish.