Bitcoin Price Steady as Bitcoin Cash and Ethereum Climb
By Rakesh Sharma
It is turning out to be a happy Thanksgiving for owners of Bitcoin Cash and Ethereum. Bitcoin Cash, which was created after an August hard fork in bitcoin’s blockchain, jumped by approximately 26% to trade at a high of $1623.80 at 08:14 UTC. In the meanwhile, bitcoin’s price mostly held steady.
At 16:00 UTC, bitcoin was unchanged at $8,177 while Bitcoin Cash was at $1499.83, up by almost 17% in the last 24 hours. Ethereum, the world’s second most-traded cryptocurrency was also on an upswing. The digital currency was trading at $412.79, up by 8.73%, as of this writing.
The overall market capitalization for cryptocurrencies continued to set new records. At 16:02 UTC, it was $255.3 billion, a 4% increase within the last 24 hours.
There might be several reasons for an increase in Bitcoin Cash’s price. The cryptocurrency had skyrocketed in price earlier this month upon the successful implementation of a hard fork that made it more attractive to miners. But it fell soon after as bitcoin supporters re-established the cryptocurrency’s primacy. (See also: Bitcoin Continues To Fall As Bitcoin Cash Gains.)
According to online publication CoinDesk, a spike in trading activity in South Korea might be responsible for the most recent surge. Regulators in South Korea recently said they did not consider digital tokens as legitimate currency and, consequently, did not have plans to supervise or regulate them. Their comments came as more than 1,500 people were preparing to launch a suit against Bithumb, South Korea’s largest cryptocurrency exchange. Trading volumes rose by 42% in Bithumb after the regulator’s comments.
Business Insider has a different take on the reasons for the increase in Bitcoin Cash’s value. The publication cites positive news about the cryptocurrency, such as cryptocurrency exchange Bitstamp’s integration of Bitcoin Cash, as reasons for its rise.
According to qz.com, ethereum’s price may have risen due to a chart that shows its dominance in transactions in the cryptocurrency market. (See also: What Is Bitcoin’s Intrinsic Value?)
Bitcoin Continues Journey To Mainstream Acceptance
While Ethereum and Bitcoin Cash have their moment, bitcoin is continuing its journey towards mainstream acceptance. A precious metal equities fund is the latest investor in the cryptocurrency. The Old Mutual Gold & Silver Fund has allocated as much as 5 percent of its total funds to cryptocurrencies. The fund plans to make profits off its trades in cryptocurrencies and reinvest them back in precious metals.
Ned Naylor-Leyland, manager of the Old Mutual Gold & Silver Fund, told Bloomberg that “bitcoin was paving the way for the reintroduction of gold as global money.” (See also: Should You Buy Bitcoin Or Gold?)
A Swiss-based online trader has launched a bitcoin certificate that aims to minimize volatility in bitcoin prices by switching holdings between the cryptocurrency and the U.S. dollar. Swissquote Bank SA will use a mix of “technical signals” and social media sentiment to forecast the market.
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