Crypto Market Resilient As Bitcoin Approaches Hard Fork
The cryptocurrency market has been resilient as of late, retaining its value even as bitcoin, the largest cryptocurrency by market capitalization, faces a potential hard fork in less than a week.
“Resiliency is the key term here,” said Ryan Rabaglia, head trader for Octagon Strategy, noting the market’s ability to hold on to the sharp gains it produced earlier this year.
For most of the last week, the total market capitalization of cryptocurrencies has remained above $80 billion, compared to $17.7 billion at the start of the year, CoinMarketCap figures show.
[Ed note: Investing in cryptocoins or tokens is highly speculative and the market is largely unregulated. Anyone considering it should be prepared to lose their entire investment.]
Bitcoin’s Scaling Dilemma
Bitcoin’s future remains uncertain as its network faces challenges in addressing the cryptocurrency’s scaling dilemma.
Segregated Witness, a proposal that would reduce the size of transactions and therefore allow them to be processed more quickly, has come closer to being implemented, as reported by CoinDesk.
In spite of this progress, a group of individuals has announced plans to create a separate Bitcoin network called Bitcoin Cash on August 1. Futures based on Bitcoin Cash were trading at $448.74 at the time of report, according to CoinMarketCap. This figure is less than 20% of Bitcoin’s price of $2,503.56.