- Bitcoin (BTCUSD on xStation5) keeps rising as its counterpart Bitcoin Cash (BCH) tests its post-implementation low
- Access to BCH deposits remains a chief concern for investors
- First Bitcoin ATM in Malta triggers a warning from the watchdog
Since the introduction of Bitcoin Cash, the price has been outstandingly choppy picking up above $750 before crashing below $400 afterwards. It all looks as if Bitcoin Cash’s mojo is petering out as investors are dumping BCH and switching to the genuine Bitcoin as its price keeps on increasing. Moreover, we cannot say Bitcoin Cash is already out of the woods as low hash power is one of the bigger problems facing BCH. This has resulted in slow confirmation times that often stretch several hours. Although this issue will likely be resolved over time, it could be several weeks before blocks are found at lower intervals.
Newly introduced Bitcoin Cash is losing its appeal as the price is testing its lowest point marked until now. Source: coinmarketcap.com
Taking a look at the chart above one could notice that we are not already far away from the lowest price of Bitcoin Cash. Simultaneously, the market capitalization has slumped from above $11bn to close to $5bn.
Furthermore, the nearest future of Bitcoin Cash is not so favorable anymore as access to BCH deposits remains a chief concern for many investors since most exchanges have not supported the new currency. Users have also been warned about withdrawing their BCH from cryptocurrency wallets given the security implications of doing so. Users who spend from a BCH address do not reveal their private key, but do give up their public key. This is not the case with a bitcoin address.
A first Bitcoin ATM has been launched in Malta lately but it has not been welcomed by the local financial regulator (MFSA) which has issued a warning aimed to deter cryptocurrency adoption. In its report the MFSA states that “unlike traditional money, acceptance of payment in virtual currency depends entirely on the voluntary consent of the recipient. Furthermore providers of services in relation to virtual currencies are currently neither regulated by law nor authorized by ourselves.”
Bitcoin is gaining after rebounding from a support placed at $2675. Another test of $2930 cannot be ruled out. Source: xStation5